Australia AUD

Australia Monthly CPI Indicator

Impact:
High

Latest Release:

Date:
Surprise:
0.1%
| AUD
Actual:
2.4%
Forecast: 2.3%
Previous/Revision:
2.4%
Period: Apr

Next Release:

Date:
Forecast: 2.2%
Period: May
What Does It Measure?
The Monthly Consumer Price Index (CPI) measures the changes in the price level of a basket of consumer goods and services purchased by households in Australia. It primarily focuses on inflation by assessing the cost of living and price changes across various categories such as food, housing, transport, and healthcare.
Frequency
The Monthly CPI is released on a monthly basis, typically providing preliminary estimates that can be revised in later reports, with publication often occurring in the first week of each month.
Why Do Traders Care?
Traders closely monitor the Monthly CPI as it serves as a key indicator of inflation, directly influencing monetary policy and central bank interest rate decisions. Elevated or unexpected increases in CPI may lead to a stronger Australian dollar (AUD) and bullish sentiment in equities, while lower readings can indicate economic weakness and potentially bearish effects on these markets.
What Is It Derived From?
The CPI is calculated by surveying a representative sample of prices for a wide array of consumer goods and services from various retail and service establishments across Australia. The data is collected using standardized methodologies to ensure accuracy and credibility, with a focus on price changes in relation to predefined weights assigned to each item in the consumption basket.
Description
The Monthly CPI report consists of preliminary data that capture price movements over the past month and is crucial for assessing short-term inflationary trends. It provides insight into various drivers of consumer prices, including demand fluctuations and supply chain dynamics, making it vital for economic analysis and forecasting.
Additional Notes
As a leading economic measure, the Monthly CPI is often compared with other inflation indicators such as the quarterly CPI and Producer Price Index (PPI). Analysts use it to gauge the inflationary pressures affecting the economy, and it helps contextualize Australia's economic performance in relation to global trends.
Bullish or Bearish for Currency and Stocks
Higher than expected: Bullish for AUD, Bullish for Stocks. Lower than expected: Bearish for AUD, Bearish for Stocks. Hawkish tone: Signaling higher interest rates or inflation concerns, is usually good for the AUD but bad for Stocks due to higher borrowing costs.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number Better than forecast for the currency (or previous revise better)
Red Number Worse than forecast for the currency (or previous revise better)
Hawkish Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish Favors lower rates to boost growth, weakening the currency but lifting stocks.
Date Time Actual Forecast Previous Surprise
2.4%
2.3%
2.4%
0.1%
2.4%
2.3%
2.4%
0.1%
2.4%
2.5%
2.5%
-0.1%
2.5%
2.6%
2.5%
-0.1%
2.5%
2.5%
2.3%
2.3%
2.2%
2.1%
0.1%
2.1%
2.3%
2.1%
-0.2%
2.1%
2.4%
2.7%
-0.3%
2.7%
2.8%
3.5%
-0.1%
3.5%
3.4%
3.8%
0.1%
3.8%
3.8%
4%
4%
3.8%
3.6%
0.2%
3.6%
3.4%
3.5%
0.2%
3.5%
3.4%
3.4%
0.1%
3.4%
3.5%
3.4%
-0.1%
3.4%
3.6%
3.4%
-0.2%
3.4%
3.7%
4.3%
-0.3%
4.3%
4.4%
4.9%
-0.1%
4.9%
5.2%
5.6%
-0.3%
5.6%
5.4%
5.2%
0.2%
5.2%
5.2%
4.9%
4.9%
5.2%
5.4%
-0.3%
5.4%
5.4%
5.5%
5.6%
6.1%
6.8%
-0.5%
6.8%
6.4%
6.3%
0.4%
6.3%
6.5%
6.8%
-0.2%
6.8%
7.1%
7.4%
-0.3%
7.4%
8%
8.4%
-0.6%
8.4%
7.6%
7.3%
0.8%
7.3%
7.3%
6.9%
6.9%
7.4%
7.3%
-0.5%
7.3%
7%
6.9%
0.3%