Australia: Inflation decelerates in May from the prior month
Latest reading: Consumer prices were up 4.0% on a year-on-year basis in May, following a 4.2% rise in the prior month. The reading was below market expectations but still well above the Central Bank’s target of 2.0–3.0%.
Relative to the prior month’s figures, there were milder price pressures for clothing (+5.2% in annual terms vs +6.0% in April) and transportation (+3.3% vs +6.6% in April). In contrast, price pressures were higher for housing in May (+6.5% vs +6.3% in April).
Finally, consumer prices declined 0.69% in May in month-on-month terms, following a 0.35% increase in the prior month.