Inflation Test for Hot Trade

Good morning, it's Jackie here in Sydney. Here’s what we’re watching this morning…

Today’s must-reads:
• Aussie dollar-Kiwi trade in spotlight
• Silver Lake joins bid for AirTrunk
• RBA reform talks

Traders have been snapping up options betting Australia’s dollar will outperform its New Zealand rival since late June, amid speculation the former will hike interest rates while the latter will cut them. The hot hedge fund trade faces a crucial test in Wednesday’s domestic inflation data.