• Election had no influence on rate decision
  • RBA has open mind on how fast rates need to rise
  • There are reasons to believe inflation will start to moderate

That will set out expectations on where the tightening cycle will be headed towards but baby steps. The RBA just signaled liftoff today and we'll see how committed they will be in pursuing more aggressive rate hikes in the months ahead first.

As much as he acknowledges that rate hikes will help to temper with inflation pressures, he does say that if supply-side shocks lead to a permanent or persistent shift in labour cost growth, then inflation will not be as what it was before.

I reckon that's an important detail that signifies the shift in thinking by the RBA. In turn, that will set out their views on policy in the year(s) ahead surely.