Australia is about to print its Q3 inflation data!

Our Event Guide for Australia’s Q3 2024 CPI suggests that we could see cooler price pressures compared to the previous quarter as commodity (but mostly oil) prices and average input costs eased while inflation expectations slid in the previous months.

If inflation significantly eases as the markets expect, at least some Reserve Bank of Australia (RBA) members may be convinced to shift to a more dovish stance. More dovish expectations could cut the Australian dollar’s advantage against its major counterparts.