Australia Treasurer confident July 1 tax cuts won't stoke inflation

SYDNEY (Reuters) - Australia's Treasurer Jim Chalmers said on Sunday he was confident cuts to income taxes from Monday would not exacerbate price rises, as the nation suffers a cost-of-living squeeze amid stubbornly high rates of inflation.

The consumer inflation rate reached a six-month high of 4.0% in May, adding to pain for families battling soaring living costs and lifting the chances of another interest rate hike this year from the Reserve Bank of Australia.