It is “probably better” for the RBA to go a “little bit too hard” rather than “too soft” on interest rates to reduce the risk of falling “back down the inflation rabbit hole”, says The Motley Fool Chief Investment Officer Scott Phillips. His comments come as the Australian Bureau of Statistics is set to realise its March quarterly inflation figures on Wednesday. "No one believes inflation will return to between two and three per cent any time soon, certainly not this year - probably not even next year," said Phillips in an interview with Sky News Australia. “The question is whether enough is being done on prices for the RBA to feel like it can simply step back and say, yep, the trend is okay, we can be comfortable.
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