The number: The consumer price index for April held at 2.4 per cent year-on-year from the previous month. Market consensus was for CPI to slow 2.3 per cent.
Why it matters: The Reserve Bank of Australia is watching the data closely to make sure inflation, which is now back in the central bank’s target band, keeps tracking in the right direction.
What has changed: The RBA cut interest rates last week amid cautious optimism about the inflation path. Traders are pricing in between two and three rate cuts this year, including a 68 per cent chance in July.
What’s next: The ABS is due to publish monthly retail sales figures on Friday which will help gauge the strength of the Australian consumer
