Lower-than-expected inflation numbers out of the US prompted local markets to considerably price down the possibility of an August hike late last week.
Market Economics economist Stephen Koukoulas said inflation was falling "wherever you looked."
He said US inflation was down from its peak of around nine per cent to three per cent, and China's inflation was flat in June, in a concerning sign for the major economy.
"And then you throw in Canada and New Zealand - and even the UK, which has got some special problems but its inflation rates are falling," he told AAP.
The economist said these numbers suggested supply chains had been fixed and higher monetary policy was working.
"And it's just a matter of waiting another few months for these monthly numbers to confirm that inflation in Australia is much the same."
He said the case for the RBA staying on hold was "getting stronger and stronger", especially if the incoming data continues to point in the right direction.
Between now and the August meeting, the RBA will get an update on the jobs market and quarterly inflation numbers.
Mr Koukoulas said the unemployment rate would have to fall back to extremely low levels of around 3.5 per cent, and inflation to barely budge, for the RBA to keep hiking.
Late last week, ANZ economists updated their prediction for interest rates and now expect the RBA to stay on hold at 4.1 per cent for the long haul.
The weak consumer price index reading from the world's biggest economy fed into ANZ's updated prediction, as well as less assertive remarks from the RBA governor in a speech last week.
ANZ head of Australian economics Adam Boyton also flagged signals of a slowing labour market and easing household spending as reasons to expect an extended pause.
But Mr Boyton said a move in August was still on the table, and other economists are still expecting one or two more before the central bank stops tightening.
Commonwealth Bank chief executive Matt Comyn confirmed his group's economists were anticipating one more hike but would be watching the incoming data.
Mr Comyn said quarterly inflation would need to be at less than six per cent to scrap the chance of another rate hike, and the bank's economists suspected it would come in a bit higher than that.
"And so we expect one more and are then hopeful that's the end of the rate hiking cycle," he told ABC radio on Monday.
Treasurer Jim Chalmers and Reserve Bank of Australia governor Philip Lowe will get a better understanding of the evolving global inflation narrative at the G20 finance ministers' meeting in Gandhinagar, India.
Having an understanding of the conditions was "absolutely central" to making sure Australia's economic policies were aligned, the treasurer said.
Dr Chalmers said pressures from the global economy were being felt around kitchen tables.
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