The Treasurer says there is no tension between his government and the Reserve Bank despite him previously claiming the RBA's interest rate hikes were “smashing” the economy. Jim Chalmers dismissed the remark was aimed at the Reserve Bank or its governor Michele Bullock. He told Sky News his relationship with RBA officials is productive and focused on improving the economy.

Former British commander Richard Kemp says Israel may feel it is necessary to carry out a “major offensive” in southern Lebanon to “destroy” parts of Hezbollah. Several people were killed, and 4,000 were wounded after handheld pagers belonging to Hezbollah members exploded. “Israel’s focus is clearly on the north, but it has to protect itself throughout the whole country as well,” Mr Kemp told Sky News Australia. “I think we are getting close to the point where Israel may feel now it’s the time to carry out a major offensive into southern Lebanon, to destroy parts of Hezbollah there and push the remnant back up north where they’re not presenting quite a threat and thereby allowing the 60,000 to 80,000 Israeli citizens who have been evacuated for about a year now to go back to their homes.”

Former British commander Richard Kemp says Hamas has been “largely defeated” in Gaza. Several people were killed, and 4,000 were wounded after handheld pagers belonging to Hezbollah members exploded. “Hamas have been largely defeated in Gaza,” Mr Kemp told Sky News Australia. “There are still terrorist acts taking place in Gaza by the remnants of Hamas, but they have been largely defeated, and that means that the IDF are now able to move reinforcements out of Gaza to the northern front.”

Opposition Leader Peter Dutton and his Liberal Coalition need to “scrap” Welcome to Country ceremonies from government bodies, says Sky News host Rowan Dean. “The Coalition needs to take a strong, aggressive policy to the election, saying that we are going to scrap Welcome to Country from government,” Mr Dean said. “There’s a time and a place for it obviously, at special Indigenous celebrations and so on.”

Treasurer Jim Chalmers is set to visit China next week, becoming the first Australian treasurer to travel to the country in the last seven years. “This is part of our effort to stabilise a really important economic relationship,” Mr Chalmers told Sky News Political Editor Andrew Clennell. “This is a relationship full of complexity but full of opportunity as well. “We believe you get more out of this relationship when you engage as we have been.”

Shadow Environment Minister Jonathan Duniam has slammed the Albanese government for running “scare campaigns” against the Coalition “no matter what” they do. Opposition Leader Peter Dutton will make an address on nuclear power on Monday. However, he won’t be providing costing details for the Coalition’s nuclear plan. “The government and opponents to good, sound policy are going to run a scare campaign no matter what we say or do,” Mr Duniam told Sky News Australia. “We’ll release the costings well and truly before the election.”

Communications Minister Michelle Rowland has called out the Opposition for wanting it “both ways” regarding a crackdown on misinformation online. This follows Shadow Communications Minister David Coleman's warning that the federal Labor government has come out with a misinformation bill, which has many "issues”. “They have got on their public website at the moment a commitment to introduce legislation to tackle harmful mis and disinformation,” Ms Rowland told Sky News Australia. “At the same time, they are going out there saying, basically, that they don’t support this.”

Sky News host James Morrow has called out the Albanese government for “completely dithering” on defence procurement. Prime Minister Anthony Albanese is in US President Joe Biden’s home state of Delaware alongside the leaders of Japan and India for discussions aimed at ensuring security in the Indo-Pacific region. “The only criticism that is correct about AUKUS is that it is not going to get us the sort of weaponry we need now and anywhere near fast enough,” Mr Morrow said. “This government is completely dithering when it comes to defence procurement.”

Sky News Chief News Anchor Kieran Gilbert says the Quad in Delaware has a “sense of valedictory and farewell” as it is US President Joe Biden and Japanese Prime Minister Fumio Kishida’s last meeting. Mr Biden told Sky News Australia the Quad will last “way beyond” November’s presidential election. The leaders of the US, Japan, India and Australia have gathered in Mr Biden’s home state of Delaware for discussions aimed at ensuring security in the Indo-Pacific region. “It’s definitely got a sense of valedictory and farewell about it,” Mr Gilbert said.

Sky News Political Editor Andrew Clennell says the US Federal Reserve’s decision to lower interest rates has created “some optimism” the RBA will do the same. The US Federal Reserve has cut interest rates for the first time in four years. The move has been seen by some economists to cool the country’s economy and lower inflation. “An aggressive interest rate cut by the Fed in the United States last week has created some optimism here at home, that despite recent statements by the Reserve Bank Governor Michele Bullock that there won’t be a rate cut this year, that that view could change,” Mr Clennell said. “Key to this is a monthly inflation figure out this week, which the market is predicting will be down substantially.”

Treasurer Jim Chalmers has compared Australia’s economy to the US, claiming the nation’s inflation data fares better than America’s and other Western countries. “Even with that 50 basis point interest rate cut in the US, their interest rates are still higher than in Australia,” he told Sky News Political Editor Andrew Clennell. “They went up by more, inflation was higher, their interest rates went up by more, and even after this interest rate cut, they’re still higher – that’s true in the UK as well.”

Treasurer Jim Chalmers joined Sky News Australia to discuss the latest monthly inflation data which is set to be released on Wednesday. “I think most economists expect that the number will be down, and it will show a further welcome progress towards lower inflation in our economy,” Mr Chalmers told Sky News Political Editor Andrew Clennell. “Whether it’s in the low threes or high twos, what it will show is that inflation, in monthly terms, is around half what we inherited a couple years ago when we came to office.”

At least one person has been killed and two seriously injured after flooding in central Japan. The torrential downpour has prompted evacuation orders for tens of thousands. More than 6,000 households have experienced blackouts. Military personnel have been sent to affected areas to assist rescue workers.

Verve Communications’ Prue MacSween says Australia “didn’t agree” to the drastic rise in population which is largely attributed to increased migration. Australia’s population has dramatically increased now past 27 million. “The big cities, Sydney and Melbourne in particular … [are] not coping – the congestion, the fact that our hospitals are groaning,” Ms MacSween told Sky News host Caroline Marcus. “We just don’t have the jobs, we don’t have the homes.”

Sky News host Caroline Marcus slams the United Nations for adopting a “ridiculously one sided” resolution. The UN voted on a Palestinian-drafted resolution ordering Israel to vacate occupied Gaza and the West Bank. “No mention of hostages, no mention of what happened last time Israel withdrew in 2005,” Ms Marcus said. “Of course by nature, Australia decided to abstain which is shameful.”

Verve Communications’ Prue MacSween lauds the pager and walkie-talkie attacks on Hezbollah members, likely carried out by Israel. “This was an execution and conception that was just so amazing,” Ms MacSween told Sky News host Caroline Marcus. “Striking at the heart of these terrorists.”

Verve Communications’ Prue MacSween lauds Tabcorp Chief Executive Gillon McLachlan for ordering his employees to return permanently to the office. “I feel if you want a really cohesive team that is going to work together, learn from each other, collaborate better then they need to be in the office,” Ms MacSween told Sky News host Caroline Marcus. “Productivity is not going to be as high if people are still working from home. “Good on him.”

Palestinian news agency WAFA says at least 13 people have been killed in an Israeli strike on a Gaza city school. WAFA claims the school was sheltering displaced people from the Gaza conflict. It's being reported that a number of other people were wounded in a separate strike that hit a school in the same neighbourhood.

KPMG Chief Economist Dr Brendan Rynne discusses his expectations for the monthly inflation figures. The US Federal Reserve cut interest rates for the first time in four years, prompting speculation about what the decision means for Australia. “I think they’re going to see a pretty large fall,” Dr Rynne told Sky News Australia. “I wouldn’t be surprised if we see the monthly rate fall to around three per cent.”

KPMG Chief Economist Dr Brendan Rynne discusses why the US is moving rates “well ahead” of when Australia is. The US Federal Reserve cut interest rates for the first time in four years, prompting speculation about what the decision means for Australia. “Our level of contractionary monetary policy in Australia has been much much lower than it has been in the US,” Dr Rynne told Sky News Australia. “That’s why the US is going to start moving rates well ahead of Australia.”