According to Jinshi, economist James McIntyre said that the first quarter CPI report will test the patience of the Reserve Bank of Australia, and warnings of rate hikes are expected, but he does not think that rate hikes will eventually occur. The core CPI and headline CPI readings were stronger than the Reserve Bank's expectations in February, but also lower than the levels that prompted the rate hike on November 7 last year. The stronger readings may prompt the Reserve Bank of Australia to raise its inflation expectations at the May meeting. He believes that the Reserve Bank of Australia will remain on hold, and hawkish rhetoric will be strengthened, but not a change in policy. However, the impact of inflation data on interest rates is that there will be no rate cuts in the short term. He had expected that the Reserve Bank of Australia might turn to an easing policy in the second quarter, but now it seems that it will not turn until the third quarter.

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