In the fourth quarter, consumer prices added 0.4% over Q3. The price increase was below the 0.7% rise recorded in the previous quarter and undershot market expectations, which had seen prices adding 0.7%. Declines in clothing and footwear prices mitigated a strong jump in food prices, which included double-digit growth for prices of fruit and vegetables. Annual headline inflation dropped a notch, from 2.8% in the third quarter to 2.7% but annual average inflation inched up from 2.7% to 2.8%. Average inflation has been picking up over the previous four quarters, and this upward trend is likely to continue as the impact of the floods trickle into consumer prices. On 17 February, the Reserve Bank raised its mid-year inflation forecast from 2.5% previously expected to 3.0%, as crop damages in Queensland in the wake of the floods and the cyclone Yasi would exert additional pressures on consumer prices. Monetary authorities currently expect inflation to end the year at 3.0% and maintain a medium-term annual average inflation target of 2.0% - 3.0%.
Inflation inches down in Q4
February 18, 2011
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Australia Economic News
October 12, 2016
The Westpac-Melbourne Institute Survey of Consumer Sentiment increased 1.1% in October as the index rose from September’s 101.4 to 102.4.
October 11, 2016
The business confidence index published by the National Australia Bank (NAB) was stable in September at August’s 6 points.
October 5, 2016
Nominal retail sales inched up 0.4% in August from the previous month in seasonally-adjusted terms, up from July’s flat reading.
October 4, 2016
At its 4 October monetary policy meeting, the Reserve Bank of Australia (RBA) kept its policy rate steady at an all-time low of 1.50% after cutting its rate by 25 basis points twice this year, once in May and once in August.
September 15, 2016
The labor market lost 3,900 net new jobs in August compared to the previous month in seasonally-adjusted terms.