CBA Expect Another Fall In Monthly Y/Y Inflation Print

Ahead of today’s monthly CPI reading CBA “forecast a 0.4% m/m lift in consumer prices occurred in February after the price declines recorded in January. However, the annual rate will likely continue to fall. After peaking at 8.4%in December last year, we expect the annual rate to have moderated to 6.9% in February 2023. The key drivers for the monthly increase are the annual increase in education prices, a lift in fuel prices, and ongoing strong rental inflation. Partly offsetting should be a large drag from a fall in travel prices, as they continue to unwind the massive +27% m/m increase in December last year.”