Economists at the nation's biggest home lender, the Commonwealth Bank of Australia (CBA), still expect an interest rate cut next month ahead of a likely benign inflation result on Wednesday.

The Reserve Bank of Australia's minutes from its July board meeting released earlier this week appeared to suggest that the central bank is in no rush to cut the cash rate any further after reductions in May and June, and in November and December last year.

However, the latest official inflation readings for the June quarter - key drivers of interest rate decisions - will be released next week and could be even more benign than they were for the first three months of the year.

CBA is expecting the annual rates for both the consumer price index and the underlying inflation measures will be below the central bank's two to three per cent target band.

CBA senior economist Michael Workman concedes that while such outcomes won't stand in the way of further cash rate cuts, neither will they unequivocally make the case for lower rates, and his expectation for a 25 basis point cut at the August board meeting may need to be pushed back.

"The price data does, however, provide one plank underneath our reluctance to abandon the August RBA rate cut call," Mr Workman said in an analysis.

CBA is forecasting the June quarter CPI to have risen by 0.5 per cent for an annual rate of just 1.2 per cent, down from 1.6 per cent in the year to end March.

Underlying measures are expected to average a 0.6 per cent rise, for 1.9 per cent annually, down from 2.1 per cent previously.

JP Morgan economist Ben Jarman said while the latest quarterly trade price indices released by the Australian Bureau of Statistics on Friday surprised on the upside, presenting some upside risk to next week's price reports, it remains a "weak inflation environment".

"(It) provides the scope for further monetary support as the unemployment rate rises and global growth weakens further," Mr Jarman said.

The import price index rose by 2.4 per cent in the June quarter for an annual rate of 3.7 per cent, while the export price index increased by 1.0 per cent in the quarter but fell 3.8 per cent over the year.

Economists said this indicated that Australia's terms of trade - the ratio between export and import prices - had now fallen for three consecutive quarters from an historically high level, after dropping by 1.3 per cent in the June quarter.

Despite this suggesting a slowdown in national income, it failed to put a dent in the resurgent Australian dollar, which was trading at a six-week high above 104 US cents on Friday, and at a record high against the euro.

"This is another reminder that the currency is well overvalued on an historical fundamental basis," NAB Capital chief economist Rob Henderson warned.

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