Australia inflation accelerates in August; core stays stubbornly high
Australia's consumer inflation accelerated in August as fuel costs jumped, while core inflation remained stubbornly high for a third month and showed little impact from four RBA rate hikes aimed at cooling demand.
(Updates throughout) SYDNEY, Sept 30 (Reuters) — Australia's consumer inflation accelerated in August from a year earlier as fuel costs jumped, while core inflation remained stubbornly high for a third month, showing little impact from the four rate hikes aimed at cooling demand. 6% on Tuesday and warn it was ready to hike further if needed. That brought its tightening this year to a full percentage point, far ahead of many other developed economies. 10.
Swaps pared back the risk of a November hike to just 20% from 35% previously. 5% gain. 5%. 6%.
The RBA has out-hawked many of its global peers including the Federal Reserve and the European Central Bank, after three rate cuts in 2025 helped fuel domestic inflationary pressures. Now, with the US-Israeli war on Iran pushing energy prices higher for longer, policymakers worry inflation could become entrenched, having already run above target for five straight years. 8% in August from the previous month, driven by higher oil prices and the unwinding of governmental tax relief. 4% in August from a year earlier as builders passed higher costs on to consumers.
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