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RBA to hike aggressively as inflation surges

With Governor Lowe warming to the idea of tighter policy, we’re sticking to our forecast that the RBA will start to hike rates in June. Our forecast that rates will peak at 1.75% is above the analyst consensus of 1.25% but far lower than the peak of 3.25% priced in by financial markets.
Marcel Thieliant Senior Japan, Australia & New Zealand Economist
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