Bullock Abandons Soft-Landing Rhetoric as Rate Rise Looms

RBA Governor Michele Bullock has signalled that a fourth interest rate rise is likely this month, abandoning her previous soft-landing rhetoric. In an appearance before parliament's Standing Committee on Economics, Bullock noted that risks of higher inflation were materialising and that the central bank had 'retired' its 'narrow path' approach to raising rates without affecting labour market gains.

The RBA is set to make a decision at the end of the month, with the possibility of another rate hike looming large. Bullock was joined by other top brass from the central bank in their hawkish rhetoric on inflation. Deputy Governor Andrew Hauser and Assistant Governor Brad Jones also spoke about the risks posed by higher inflation.

Bullock's comments come as the Australian economy continues to navigate rising interest rates, which have had a significant impact on consumer spending and borrowing. The RBA has been closely watching inflation data, with the latest figures showing that prices are still increasing at a rate above its target range.