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Inflation came in worse than expected in June, raising fears that higher fuel and food prices might now feed into more generalised price pressures across the economy, further pressing the Reserve Bank to up the pace of interest rate hikes.

Official figures showed consumer price inflation reached a 13-year high of 7.4% in June, well above May’s 6.5%, and much ahead of the 7.2% market consensus and the 7.3% forecast by Bloomberg...

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