Tuesday, 24 April 2018 10:44 WIB |
ECONOMY |Ekonomi AustraliaCPI Australia
Inflation in Australia was lower-than-expected in the first three months of the year, with wages growth remaining flat, likely keeping interest locked at record lows for some time.
Consumer prices rose 0.4% in the first quarter and were up 1.9% from a year earlier, the Australian Bureau of Statistics said Tuesday. Economists had expected consumer prices to rise 0.5% in the quarter and 2.0% from a year earlier.
The Reserve Bank of Australia, which targets an annual inflation rate of between 2% and 3%, has kept official interest rates at a record low 1.5% since mid-2016.
Core inflation rose 0.5% in the quarter, as expected by economists. The measure rose 2.0% on-year.
Higher costs for education, natural gas and household fuels, vegetables, pharmaceuticals and medical services contributed to the rise in consumer prices during the quarter, offset by lower travel, computing and furniture costs.
RBA Gov. Philip Lowe recently signaled the next move in interest rates is likely to be higher, but with wages growth flat, there is no case to raise them in the near future. Current financial market pricing reflects an expectation that interest rates will be unchanged until 2019.