Australian CPI
Wednesday July 23, 2008
Australian prices rose by 1.5 percent for the second quarter beating a first quarter rise of 1.3 percent. The yearly percentage is now 4.5 percent for Australian headline inflation.
The increase was led by a surge in financial services cost, and of course, energy cost.
It’s interesting to note that part of the increase also came from increases in home prices and rents. While inflation is alive and well in the Australian economy, it looks like things are stable enough that a rate cut is not on the immediate horizon. That being said, the Australian dollar seems to be trying to reverse its long term uptrend against the majors. If you are trying to find a spot to get long, be careful!
The increase was led by a surge in financial services cost, and of course, energy cost.
It’s interesting to note that part of the increase also came from increases in home prices and rents. While inflation is alive and well in the Australian economy, it looks like things are stable enough that a rate cut is not on the immediate horizon. That being said, the Australian dollar seems to be trying to reverse its long term uptrend against the majors. If you are trying to find a spot to get long, be careful!
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