SYDNEY] A gauge of Australia’s monthly inflation came in slightly faster than expected in April, coinciding with a period of tariff turmoil that roiled markets and encouraged the Reserve Bank of Australia (RBA) to lower interest rates last week.

Hopeful Sydney homebuyers are paying substantially more money for properties relative to the cost of everything else than any recent generation before them, alarming new analysis has revealed – rubbishing claims baby boomers had it harder because of higher interest rates.

The Australian dollar has extended its losses on Wednesday. AUD/USD is trading at 0.6415 in the North American session, down 0.44% on the day.

Goldman Sachs has estimated the redirection of Chinese goods into Australia, particularly in toys, furniture and clothing, could subtract 20-50 basis points from headline inflation over the next year or two. Those forecasts were made before China and the U.S. agreed to pause steep tariffs this month.

Australian retail sales slipped unexpectedly in April as warm weather hit spending on winter clothing, data showed on Friday, while department stores suffered from a dearth of discounting events in further evidence of a cautious consumer.

The Australian inflation indicator for April, published this morning, came in at 2.4%, which is slightly higher than expected, Commerzbank's FX analyst Michael Pfister notes.