June CPI rose 3.8% year-over-year, undershooting expectations and easing pressure on the Reserve Bank of Australia.
Australia’s annual inflation rate slowed to 3.8% in June, missing forecasts of 4.0% and marking a decline from May’s pace. The quarterly CPI print also fell short, rising 0.7% versus an expected 1.4% gain, while trimmed and weighted mean measures came in at 3.7%, below projections.
The data follows a prior annual rate of 4.1% and suggests easing price pressures after aggressive monetary tightening. Markets had anticipated a higher print, with consensus centered around 4.0% for June and 4.1% for the quarter.
The softer inflation figures may reduce urgency for further rate hikes by the Reserve Bank of Australia, though policymakers remain cautious amid persistent core pressures.