Worse News Ahead for Australian Inflation -- Market Talk
Dow Jones03-25 10:04
0204 GMT - The mild pullback in Australia's headline inflation in February won't allay the Reserve Bank of Australia's concerns about upside risks to the inflation outlook, says Abhijit Surya, economist at Capital Economics. There is still a strong case for continued policy tightening, he adds. The fall in headline inflation in February will provide cold comfort to the RBA, given that the slowdown was driven entirely by a deepening of automotive fuel deflation, he says. Surya estimates that automotive fuel inflation will surge to 25% on year in March. (james.glynn@wsj.com; @JamesGlynnWSJ)
(END) Dow Jones Newswires
March 24, 2026 22:04 ET (02:04 GMT)
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