By Oliver Gray
Investing.com - The annual inflation rate in Australia rose to 3.5% in Q4 of 2021, lifting from 3.0% in Q3 and coming in above market estimates of 3.2% amid rising fuel prices, global supply chain disruptions, material shortages, and increased demand ahead of the Christmas holiday.
On a quarterly basis, consumer prices went up 1.3% in Q4, the most in five quarters and accelerating from a 0.8% gain in Q3.
Trimmed mean CPI, the Reserve Bank of Australia’s preferred inflation measure, rose 2.6% compared with a year prior, exceeding forecasts of a 2.4% increase. On a quarterly basis, trimmed mean accelerated 1% against forecasts of 0.7%.
The Australian dollar was up 0.14% to 0.715 and Australia 10-Year bond yields rose to 1.954% on expectations of an early increase in the cash rate.