Don’t Be Fooled By The Latest CPI Read; Rate Hikes Are Coming!

Inflation cooled faster than anticipated to 3.4 per cent in November, as a wave of retail discounting helped ease the pressure on household budgets during the holiday period. So while the Australian Bureau of Statistics noted persistent heat in housing, food and transport costs, the headline figure was dragged down by aggressive Black Friday sales in the apparel and homewares sectors. Economists had expected annual headline inflation of 3.6 per cent, but note the 3.4 per cent rate is still tracking above the Reserve Bank of Australia’s year-end forecast of 3.3 per cent, and above its 2 per cent to […]