Australia’s core inflation remains sticky

Although the data suggests that inflation remains persistent, it also confirms that the RBA now has more headroom to act quickly in reducing rates if negative shocks threaten the growth outlook, writes KPMG Senior Economist Michael Malakellis.

At a glance Headline inflation remained steady at 2.4 percent in April Trimmed mean inflation, the RBA's preferred measure, edged up to 2.8 percent from 2.7 percent in March. While at the higher end of the target range, the RBA is in a better position to support growth if needed. While Australia's headline inflation remained steady at 2.4 percent in April, trimmed mean inflation – the Reserve Bank of Australia's (RBA) preferred measure – edged up to 2.8 percent, from 2.7 p...

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Authors: Michael Malakellis

Published Date: 29 May 2025