RBA’s Bullock: Domestic Capacity Pressures, Not Just Global, Driving Inflation

Bullock's framing shifts the inflation story inward: domestic capacity and labor tightness are doing the work that global factors once did, which matters for how durable the RBA expects price pressure to be. The admission that earlier hikes have not fully transmitted cuts both ways, suggesting the board sees an incomplete picture rather than a finished job. The question worth watching is whether the RBA concludes existing tightening is sufficient, since that judgement carries more weight than any single data point.