RBA Governor Bullock: Inflation is broad-based, trimmed mean remains too high

<figure data-media-><img src="https://images.forexlive.com/images/RBA%20Governor%20Bullock_id_67b95e93-f918-4d05-88ac-f019d9b283d0_size900.jpg" alt="RBA Governor Bullock" width="1280" height="720" wrapper-="wrapper-" data-src="https://images.forexlive.com/images/RBA%20Governor%20Bullock_id_67b95e93-f918-4d05-88ac-f019d9b283d0_size900.jpg" /><figcaption><div>RBA Governor Bullock</div></figcaption></figure><ul><li>Inflation challenge is increasingly driven by homegrown demand</li><li>'More substantial' mon pol tightening is right response to demand-driven inflation</li><li>Supply-chain inflation is easing and has a bit further to run</li><li>Service costs rising strongly as demand outstrips supply</li><li>RBA liaison with firms indicates domestic cost pressures are proving persistent</li><li>Will take time to get&nbsp; inflation back to 2-3% target</li><li>Board seeking to cool demand while keeping employment growing</li></ul><p>These are hawkish comments but the RBA showed its hand at the latest meeting and AUD/USD is unmoved. It remains down 25 pips on the day at 0.6528.</p>

This article was written by Adam Button at www.forexlive.com.