We have some inflation at the pipeline level, rising commodity prices, crude, material prices, things of that nature, but that inflation doesn't always get passed on to the consumer level.

What we are seeing is a continuation of the relief that the Fed will fight inflation, but will do so gradually.

Although the economy grew briskly, it is not leading to inflation pressure one has to worry about.

If the Fed ceases hiking, against the backdrop of still rising commodity prices, then the Australian dollar will have few reasons for resisting any topside advances.

Commodity prices are rising, quite dramatically for copper, tin and steel scrap. That would not happen if there was an expectation of a slowdown.

Inflation, on the surface, does not appear to be a concern, but it's obvious that prices for some items are rising. It's inevitable that when people are armed with fatter paychecks and when companies are spending more to produce goods and services, prices are going to rise.