Strong economy to embolden Reserve Bank rate rises; Sticky candy co-founder Rachel Turner worries about wage demands

As borrowers absorb the impact of yesterday's half a percentage point rate rise, there'll be more evidence later this morning that the economy is still running a bit hotter than the Reserve Bank would prefer.

While news of a bullish economy is good news (June quarter GDP forecast 1pc q/q, 3.5pc y/y), consumers and businesses continue to be rocked by rising inflation and demands from workers for higher wages.

Rachel Turner co-founder of the candy store Sticky - who survived the pandemic and the global financial crisis - tells me that wage demands from specialist staff could be unsustainable.