Australia: Headline inflation to ease to 1.2% q/q – TD Securities

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]

Previewing Australian inflation data that will be released early Wednesday, analysts at TD Securities note that they are below consensus on both the headline Consumer Price Index (CPI) and trimmed mean measure in Q1.

“We expect headline inflation to ease to 1.2% q/q (cons: 1.3%, RBA: 1.5%) from 1.9% last quarter. This would bring the annual print to 6.8% y/y, from 7.8% y/y in Q4.”

“The Jan-Feb monthly CPIs point to a quick easing in price pressures, and it is unlikely that the Q1 print would meet the RBA implied forecasts. To achieve the RBA’s Q1’23 7.1% y/y forecast, this would require the monthly Mar’23 CPI to print ~1.35% m/m, significantly above the March outcomes in prior years.”

“For CPI trimmed mean inflation, we project it at 1.2% q/q, 6.5% y/y (cons: 1.4% q/q, 6.7% y/y) as broad-based price pressures remain. If both quarterly prints print in line with our forecasts, this should bolster our call for the RBA to keep rates unchanged again in May.”

[/s2If]
Nehcap Expert Advisor
The NEHCAP MT4 EA is high quality professional trading system geared to generate returns without using GRID or martingales. Each trade has strict risk per trade parameter. The pairs under management include EURUSD, GBPUSD, AUDCAD, AUDNZD,GBPAUD, EURAUD, EURCAD, CHFJPY and many more.
The system is trading live: LIVE ACCOUNT TRACKING
You can run it free. Apply for a free trial and track our account. Buy the system or use profit share mechanism to generate returns on your MT4.
Join Our Telegram Group