Interest rate hikes could be just 6 days away

No, you are not imagining it. Consumer prices are rising at their fastest pace in two decades.

Official inflation figures have just lobbed like a grenade into this federal election campaign, revealing prices in Australia are rising at an annual rate of 5.1 per cent, vastly exceeding expectations.

From fuel to food to housing, price hikes are widespread across the economy.
And for mortgage holders, there is more hip pocket pain ahead.

Many economists are now tipping the Reserve Bank will have to act at its board meeting next Tuesday to lift interest rates to try to cool inflationary pressures.

Today on Please Explain economics correspondent Shane Wright joins Jess Irvine to go through the numbers.

Subscribe to The Age & SMH: https://subscribe.smh.com.au/

See omnystudio.com/listener for privacy information.