/ 30 May 2024

Inflation frustration

inflation, interest rates, economy

So let us set the scene… Yesterday’s official inflation update reported a rise in the 12 months to April to 3.6%, up from 3.5% in March. That increase – thanks mostly to high housing and services costs – has economists worried because, despite a slowdown in household spending, it’s heading in the wrong direction… That saw economist Anneke Thompson say “the fight against inflation is still far from over”. As for what it means for interest rates, those in the know say the new data alone won’t decide the Reserve Bank’s next shout that’s due on 18 June – but it’s likely to add fuel to fears of delayed rate cuts or a potential rate hike. That’s not even getting into the debate around whether the Albanese Government’s Federal Budget will add to inflation

Know someone who'd be interested in this story? Click to share...

The Squiz Today

Your shortcut to being informed, we've got your news needs covered.

Get the Squiz Today newsletter

Quick, agenda-free news that doesn't take itself too seriously. Get on it.