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CPI Records Modest Growth In June Quarter

Published 25/07/2018, 11:30 am

CPI Index NumberThe Consumer Price Index (CPI) rose 0.4 per cent in the June quarter 2018, according to the latest Australian Bureau of Statistics (ABS) figures. This follows a rise of 0.4 per cent in the March quarter 2018.

The most significant price rises this quarter are automotive fuel (+6.9 per cent), medical and hospital services (+3.1 per cent), and tobacco (+2.8 per cent). These rises are partially offset by falls in domestic holiday travel and accommodation (-2.7 per cent), motor vehicles (-2.0 per cent) and vegetables (-2.9 per cent).
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Image 1: The CPI rose 0.4 per cent in the June quarter 2018. The most significant positive contributors to the CPI in the June quarter 2018 are: Transport Group (+1.6 per cent), Health Group (+1.9 per cent), Alcohol and tobacco Group (+1.6 per cent), Clothing and footwear Group (+1.3 per cent), and Insurance and financial services Group (+0.4 per cent).
The CPI rose 2.1 per cent through the year to June quarter 2018, having increased 1.9 per cent through the year to March quarter 2018.

Chief Economist for the ABS, Bruce Hockman, said, "Annual CPI growth is 2.1 per cent in the June quarter 2018, the second annual rise above 2.0 per cent since September quarter 2014. Most of this annual growth is due to strength in fuel, electricity and tobacco. Annual growth in prices of discretionary goods such as clothing and footwear, and furniture and household equipment remain subdued.”

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Image 2: For the June quarter 2018, the All Groups annual percentage change of the Weighted Average of the Eight Capital Cities is +2.1 per cent. Sydney rose 2.1 per cent, Melbourne rose 2.5 per cent, Brisbane rose 1.7 per cent, Adelaide rose 2.7 per cent, Perth rose 1.1 per cent, Hobart rose 2.4 per cent, Darwin rose 1.2 per cent, and Canberra rose 2.8 per cent.

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