Australia’s Inflation Steady, but Core Measure Clouds Rate Cut Hopes

A key measure of core inflation, the trimmed mean, edged up to 2.8 percent, exceeding forecasts of 2.6 percent.

A woman shops in the fresh produce section of a supermarket in Albany, Western Australia, on Oct. 15, 2024. Susan Mortimer/The Epoch Times

Australia’s inflation rate held steady in January, but a slight rise in core inflation has cast doubt on the possibility of another interest rate cut in the first half of the year.

The Australian Bureau of Statistics (ABS) reported that the consumer price index (CPI) remained at 2.5 percent for the 12 months to January, defying market expectations of a slight increase to 2.6 percent.