Consumer prices in Australia added 0.7 percent on quarter in the second quarter of 2015, the Australian Bureau of Statistics said on Wednesday.
That was shy of forecasts for 0.8 percent and up from 0.2 percent in the first quarter.
On a yearly basis, inflation added 1.5 percent – also beneath expectations for 1.7 percent but up from 1.3 percent in the three months prior.
Among the individual components, prices for transportation climbed 3.4 percent on quarter, followed by health (2.7 percent), clothing (1.3 percent), alcohol (1.2 percent), household equipment (1.0 percent) and housing (0.7 percent).
Education costs were flat on quarter, while recreation was down 1.4 percent and communications slipped 0.6 percent.
On a yearly basis, prices for education climbed 5.4 percent, followed by alcohol (4.8 percent), health (4.3 percent), housing (2.5 percent) and financial services (2.1 percent).
Communications costs were down 3.4 percent on year, while transportation fell 2.4 percent.
The most significant price rises this quarter are automotive fuel (+12.2 percent), medical and hospital services (+4.5 percent) and new dwelling purchase by owner-occupiers (+1.5 percent).
The most significant offsetting price falls this quarter are domestic holiday travel and accommodation (-5.4 percent) and pharmaceutical products (-1.8 percent).
The Reserve Bank of Australia’s trimmed mean was up 0.6 percent on quarter, matching forecasts and down from 0.7 percent in the previous three months.
On year, the trimmed mean gained 2.2 percent – exceeding forecasts for 2.1 percent and down from 2.3 percent in the first quarter.
The RBA’s weighted median added 0.5 percent on quarter versus forecasts for 0.6 percent, which would have been unchanged.
On year, the weighted median advanced 2.4 percent – unchanged from Q1 and above forecasts for 2.3 percent.
Also on Wednesday, the latest survey from Westpac Bank showed that a leading index for the Australian economy showed no change in June, posting a flat reading.
That follows the 0.1 percent decline in May.
“Having cut rates in both February and May the August meeting does become a ‘live’ event,” Westpac Chief Economist Bill Evans said. “However we expect that it is very unlikely that the Board will decide to cut rates in August.”
The material has been provided by InstaForex Company – www.instaforex.com