FXStreet reports that economist at UOB Group Lee Sue Ann reviews the latest inflation figures in the Australian economy.

“Australia’s headline CPI came in at 0.9% q/q for 4Q20, higher than the estimate of 0.7% q/q, following the 1.6% q/q reading in the third quarter.”

“Compared to the same period a year ago, CPI advanced 0.9% y/y, up from the 0.7% y/y reading in the previous three months. The increase in annual inflation largely reflects the unwinding of free child care and higher petrol prices, and contributed to the reversal of the June quarter fall of 0.3% y/y. These impacts are largely removed from measures of underlying inflation, with the trimmed mean measure remaining at a record-low of 1.2% y/y (0.4% q/q).”