Australia Q1 inflation slowdown disappoints, rate cut bets gone

SYDNEY: Australian consumer price inflation slowed less than expected in the first quarter as service cost pressures stayed stubbornly high, a disappointing result for policymakers that led markets to abandon hopes for any rate cuts this year.

The Australian dollar duly jumped 0.6% to $0.6522, while three-year bond futures tumbled 15 ticks to 96.00, the lowest this year.