Australia’s consumer inflation accelerates to 3.8% in October, beating estimates

Inflation in Australia accelerated in October, beating analysts’ forecasts and rising at the fastest pace in seven months, the Australian Bureau of Statistics said on Wednesday.

The consumer price index rose 3.8% on an annual basis in October, its fastest pace since a new measure for headline inflation was adopted from April. According to the official statement. That was above economists’ forecast for a 3.6% increase in a Reuters poll.

The housing sector, which grew by 5.9 percent, made the biggest contribution to the rise in inflation. On a monthly basis, CPI remained flat compared to October.

This is the first thing ABS has published the full monthly CPIWhile the government has moved from the three-month CPI to using the monthly indicator as the key measure for headline inflation.

Separately, an indicator of Australian business conditions was collected in October. Rising to highest level since March 2024Companies reported better sales and profits, according to a survey by National Australia Bank earlier this month.

Reserve Bank of Australia held interest rates 3.6% Earlier this month, it said it was cautious about further easing given high inflation, a stronger-than-expected recovery in consumer demand and a rebound in the housing market.

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