Furious bond rally prices out RBA hikes

Interest rate futures market are still pricing two more hikes, down from four not long ago:

The RBA rate tracker is now forecasting no more hikes:

The bond market itself has moved on with a furious rally in the past few days to also price out the RBA entirely. The bond curve is now inverted below the current cash rate over three years:

The belly and long end are still steeper but I still maintain that this is mispricing. The Aussie curve should be flat-to-inverted as recession (likely per capita) arrives later in 2023. The US curve is much more rational:

Any way you look at it, markets are pricing the end of RBA tightening.

In my view, to hike next month would be downright stupid.