Inflation Focus - Q3

What’s happening on the inflation front, both globally and locally, what are the key drivers and how are central banks likely to respond?

The rate cutting cycle broadens out as inflation falls further, improving prospects for steady growth
Services inflation begins to tick lower as housing related price pressures reduce and labour markets ease
Goods deflation remains in place and highlights pockets of weakness in the global economy
Policy loosening reduces risk to growth, but it remains critical that the focus on inflation is maintained