FX.co ★ Australia Inflation Gauge Accelerates Ahead of RBA Meeting

Australia’s Melbourne Institute Monthly Inflation Gauge rose 0.5% month-on-month in October 2026, up from a 0.3% increase in September and marking the fourth consecutive monthly gain. The stronger reading underscores persistent price pressures ahead of the Reserve Bank of Australia’s policy meeting later this week, at which markets widely expect a fifth interest rate hike this year. Annual headline inflation accelerated to a six-month high of 4.3% in September, remaining well above the RBA’s 2–3% target range. Governor Michele Bullock has warned that inflation may remain elevated for longer than previously anticipated, while Assistant Governor Sarah Hunter recently said policymakers have “not quite yet” done enough to return inflation to target on a sustained basis, reinforcing expectations of further policy tightening.