Australia 3Q Consumer Prices Rise 2.3%

The video discusses the slight rise in the consumer price index (CPI) for the third quarter, noting a 0.5% increase quarter-on-quarter, resulting in a stable 2.3% year-on-year figure. The dollar initially fell but quickly recovered. There were expectations of a CPI drop due to the carbon tax repeal, but this did not materialize. The Reserve Bank of Australia closely monitors these figures for cash rate decisions, with the current inflation rate at the lower end of their target band.

How did the dollar perform after the figures were released?

What does the Reserve Bank of Australia monitor closely in relation to setting the cash rate?