The Consumer Price Index (CPI) rose 0.5 per cent in the December quarter 2018, according to the latest Australian Bureau of Statistics (ABS) figures. This follows a rise of 0.4 per cent in the September quarter.

The most significant rises in the December quarter are tobacco (+9.4 per cent), domestic holiday travel and accommodation (+6.2 per cent), fruit (+5.0 per cent), new dwellings purchased by owner-occupiers (+0.4 per cent) and furniture (+1.8 per cent). The rise is partially offset by falls in automotive fuel (-2.5 per cent), audio visual and computing equipment (-3.3 per cent), wine (-1.9 per cent) and telecommunications equipment and services (-1.5 per cent).

While automotive fuel rose 3.3 per cent in October, falls in November and December of 10.8 per cent and 5.0 per cent respectively resulted in a decrease across the quarter of 2.5 per cent.