Aussie CPI, what will it bring? - Westpac

Analysts at Westpac’s forecast for the headline CPI is 0.8%qtr lifting the annual pace a little from 1.8%yr to 2.1%yr.

Key Quotes:

"While seasonality may be a factor for individual components, overall on ABS seasonal factors seasonality is not an issue for the December quarter CPI.

Core inflation is forecast to print 0.5%qtr (0.54% at two decimal places) lifting the annual rate to 2.0%yr. The trimmed mean is forecast to rise 0.52% while the weighted median forecast is 0.57%. The two quarter annualised pace of core inflation is forecast to decelerate to 1.8%yr from 1.9%yr – below the bottom of the RBA’s target band."