I think peak inflation has ALREADY occurred, inflation is already trending down from 2022 levels.
I think 2023 will be better than 2022, and 2024 will be better than 2023, and 2025 will be better than 2024.
Remember inflation is ADDITIONAL price increase, if prices stay the same that is zero inflation.
People forget this.
However, and this must be emphasized, the RBA wants inflation back to 2-3%. If inflation does not fall back to 2-3%, RBA will keep interest rates 'higher for longer'.
So what does this mean?
It means that whilst RBA might drop interest rates in say 2025, they might not drop them enough, if inflation is still above 2-3% (eg inflation in late 2024 might be say 3.5%, which is outside RBA comfort zone, although 'trending down').
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