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Australia: inflation cools in May as trimmed-mean core rises, RBA faces recession risk
Consumer inflation in Australia slowed in
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Consumer inflation in Australia slowed in May to 4.0% year-on-year, which turned out to be a surprise as forecasts had pointed to 4.4%. At the same time, core inflation, calculated using the trimmed mean method, rose from 3.4% year-on-year to 3.6%, which was also unexpected. The 3.6% reading is the highest trimmed-mean inflation rate in the still short history of monthly statistics and exceeds the RBA's 2–3% target range. The drop in headline inflation in May was mainly driven by cheaper motor
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