Is inflation on the turn?

The Reserve Bank hiked interest rates once again yesterday - taking the official cash rate up half a percet to 3 percent - part of its agressive campaign to tackle inflation which has hit a 30 year high. The central bank says higher interest rates are needed to cool the economy, the strong rise in wages and other domestic cost pressures. It also signalled two more hikes to come, in October and November, topping out at four per cent. So is inflation on the turn? And what is the liklihood of a recession as things stand? Kathryn speaks with economist and head of research at the BNZ bank, Stephen Toplis.