Perpetual warns Fed, RBA underprice near-term inflation risk from AI investment boom

• Perpetual flagged upside risks to inflation and interest rates from higher oil prices, citing short-term inflationary impacts from an AI investment boom.
• Bond yields edged lower as Fed officials pushed back against expectations of consecutive rate hikes, though further tightening remained likely.
• Analysis argued the Fed and RBA have been slow to price AI-driven cost pressures, leaving rate expectations vulnerable to further repricing.
• Australian rate pricing looked “late and light,” with markets not fully pricing a final hike until May, despite risks core inflation rises.
• Key near-term catalysts cited included RBA minutes, Australia labor data, US CPI, US retail sales, and a Fed Chair Warsh appearance.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Perpetual Limited published the original content used to generate this news brief on October 12, 2026, and is solely responsible for the information contained therein.