AUD traders - Westpac is forecasting a +50bp rate hike from the RBA next week (November 1)

The revised forecast from WPAC

• We now expect the Reserve Bank Board to raise the cash rate by 50 basis points in November for a terminal rate of 3.85% by March, revised up from 3.6%.

comes after the surge in the Australian inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term rate reported yesterday:

• Australian headline CPI 1.8% q/q (expected 1.6%)

More from yesterday re this:

• Australia: Inflation powers through 7% ... Where does this leave the RBA?
• Australian Treasurer Chalmers says expects inflation to peak at the end of the year
• Australia's CPI comes in hotter than expected - in NZ inflation pressure remains 'intense'

I also posted yesterday opposite views:

ANZ

• lift their RBA cash rate peak to 3.85% (from 3.60%)
• 50bps hike in November is possible, but retain their call for 25bps
• “the RBA will prefer to hike more frequently than shift back to 50bp given the reasoning behind the decision to go 25bp in October.”

CBA:

• see a +25bp at the November meeting
• add in a +25bp in December in the wake of the inflation data, CBA were previously at an 'on hold' December forecast

Reserve Bank of Australia Governor Lowe - speaks next week following the meeting:

• It's a big week ahead for the Reserve Bank of Australia after today's soaring CPI data