RBA’s Bullock: Rate Hikes Necessary to Bring Down Inflation

Bullock's framing is notable for how explicitly it ties disinflation to labour-market softening — slower growth and higher unemployment presented as deliberate costs, not side effects. That candour matters for Australian rate-sensitive assets, and the split board she describes signals the hiking path is contested rather than settled. The open question is whether inflation expectations stay anchored as the labour market cools, since that is the variable she treats as the real risk.