August inflation ticks up

04 September 2018

 

The Melbourne Institute’s Inflation Gauge is an attempt to replicate the ABS consumer price index (CPI) on a monthly basis instead of quarterly. It has turned out to be a reliable leading indicator of the CPI, although there are periods in which the Inflation Gauge and the CPI have diverged for periods of up to six-to-twelve months. On average, the Inflation Gauge’s annual rate tends to overestimate changes in the...

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