Fed: CPI up 0.9 per cent in March quarter, 3 per cent annual

AAP General News (Australia)
04-26-2006
Fed: CPI up 0.9 per cent in March quarter, 3 per cent annual

CANBERRA, April 26 AAP - The consumer price index rose 0.9 per cent in the March quarter,
giving Australia an annual inflation rate of three per cent.

The Australian Bureau of Statistics said there were price rises across a range of goods
which led to the higher than expected quarterly figure.

Some of the biggest increases recorded during the quarter were in pharmaceuticals (up
14.2 per cent), vegetables (7.9 per cent), motor vehicles (1.4 per cent), secondary education
(6.9 per cent), tertiary education (4.8 per cent) and automotive fuel (1.4 per cent).

Offsetting these were falls in deposit and loan facilities (down 2.1 per cent), furniture
(3.2 per cent), clothing and footwear accessories (3.5 per cent) and audio, visual and
computing equipment (1.5 per cent).

At three per cent, inflation is now at the top of the two per cent to three per cent
target range of the Reserve Bank, suggesting an interest rate rise is now possible.

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KEYWORD: INFLATION

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