The Australian Bureau of Statistics (ABS) released the latest – Consumer Price Index, Australia – for the June-quarter 2025 today (July 30, 2025). The quarterly data showed that the inflation rate rose by 0.7 points in the quarter but over the 12 months and on an annual basis fell from 2.4 per cent to 2.1 per cent. However, the monthly measure for June 2025 shows annual inflation at 1.9 per cent – which the RBA should be stating is ‘too low’ given the lower bound of their targetting range is 2 per cent. The inflation rate has been within the RBA’s inflation targeting range for four successive quarters and inflationary expectations are falling or benigh. There are no significant wage pressures evident. Using the RBA’s own logic, its policy interest rate should now be cut.