Australia’s factory gate prices q/q rise at a slower pace

FXStreet (Mumbai) – Producer prices in Australia rose at a slower rate in the second quarter when compared to the first, leaving the country’s central bank plenty of scope to ease further, FT reported.

PPI, which tracks what businesses receive for their goods and services sold, rose at a slower pace of 0.3% q/q, having risen 0.5% in the first quarter of the year.

The readings have generally been drifting downwards since the end of 2011, having been upwards of 2% that year, according to the Australian Bureau of Statistics.

While a separate report released by the Reserve Bank of Australia on Friday revealed that private sector credit in Australia was up 5.9% on year in June – below estimates for 6.0 percent and down from 6.2% in May.

On a monthly basis, private sector credit added 0.4% also below expectations for 0.5%, which would have been unchanged.

Producer prices in Australia rose at a slower rate in the second quarter when compared to the first, leaving the country’s central bank plenty of scope to ease further, FT reported.

(Market News Provided by FXstreet)