‘Live’ chance of interest rate hike at March RBA meeting amid oil price spikes affecting inflation, governor says

Michele Bullock not ‘making a prediction’, but cites rise in oil prices due to attacks on Iran and tight labour market as factors in possible cash rate riseFollow our Australia news live blog for latest updatesGet our breaking news email, free app or daily news podcastThe governor of the Reserve Bank of Australia, Michele Bullock, says there is a “live” chance of a rate hike in two weeks’ time, as the central bank frets that a “prolonged” oil price spike as a result of the attacks on Iran will make it harder to bring inflation under control.Investors and economists had largely discounted the chance of a move at the upcoming board meeting on 16-17 March, believing that the RBA would wait for the next quarterly inflation report before a likely hike in May. Continue reading...