Key Points

• Underlying inflation for the year has landed at 3.2 per cent, lower than market expectations.
• Economists, like Cherelle Murphy from E-Y Oceania, are now pricing in up to a 90 per cent chance of a rate cut next month.
• As the election is due to be called within months, economists are increasingly concerned that any rate relief could be short-lived as the parties spend big to win votes.