Inflation Gauge up 0.2% in October; annual rate now above 3%

Summary: Melbourne Institute Inflation Gauge index up 0.2% in October; index up 3.1% on annual basis; bond yields dive, partially reverse previous week’s rises. Despite the RBA’s desire for a higher inflation rate, ostensibly to combat recessions, attempts to accelerate inflation through record-low interest rates failed in the second half of the previous decade. The RBA’s stated objective is to achieve an inflation rate of between 2% and 3%, “on...

read full story