Australia: Annual average inflation hits record low in Q2
July 21, 2015
In the second quarter of 2015, consumer prices rose 0.7% over the previous quarter, marginally undershooting market analysts’ expectations of a 0.8% increase but coming in well above Q1’s 0.2 rise. The quarterly figure was driven by increases in prices for automotive fuel, medical and hospital services and new dwellings. These price increases were partially offset by lower prices for domestic holiday travel and pharmaceutical products.
Annual inflation came in at 1.5% in Q2, up from 1.3% in Q1, which marked the highest reading in two quarters. Despite the yearly increase, annual average inflation hit an all-time low of 1.7% in Q2, falling from 2.1% in Q1.
Author: Robert Hill, Economist