{"id":109345,"date":"2026-02-23T10:31:00","date_gmt":"2026-02-22T23:31:00","guid":{"rendered":"https:\/\/en.econostrum.info\/au\/?p=109345"},"modified":"2026-02-22T22:16:32","modified_gmt":"2026-02-22T11:16:32","slug":"can-australia-beat-inflation","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/au\/can-australia-beat-inflation\/","title":{"rendered":"Can Australia Beat Inflation? Find Out What the Latest Data Says"},"content":{"rendered":"\n

Australia\u2019s inflation figures for January are set to give the first clear picture of how the recent hike in the cash rate is affecting the economy. With the Reserve Bank of Australia (RBA) raising rates to 3.85% earlier this year, the question on everyone\u2019s mind is: will inflation continue to rise, or has the RBA managed to control the surge in prices?<\/p>\n\n\n\n

Inflation Update: What Can We Expect From January\u2019s Data?<\/h2>\n\n\n\n

The January inflation figures, which are due for release this Wednesday, are expected to show that inflation remains largely stable at around 3.8%, with some economists predicting a slight dip to 3.7%. These figures will be the first to reflect the impact of the RBA\u2019s latest interest rate<\/a> hike, which many believe was necessary to rein in the rising cost of living. However, even though inflation has shown signs of stabilizing, it remains well above the RBA\u2019s target range of 2-3%, leaving economists wondering if more rate hikes are on the horizon.<\/p>\n\n\n\n

The trimmed mean inflation, which removes the most volatile items from the calculation, is expected to hold steady at 3.3%. This figure is important because it offers a clearer view of underlying inflation trends, excluding the noise from things like fuel and food prices, which can swing dramatically. Despite the stability in the numbers, the reality is that inflation continues to hover above what the RBA considers acceptable, leading some analysts to believe that the central bank will need to keep pushing rates higher.<\/p>\n\n\n\n

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Facade of an RBA building<\/figcaption><\/figure>\n\n\n\n

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The End of Energy Rebates: A Short-Term Setback?<\/h2>\n\n\n\n

One factor that might briefly push inflation<\/a> higher is the end of energy bill rebates. As these government assistance programs wind down, Australians could feel an immediate increase in their power bills, adding to their overall cost of living. However, this is likely to be offset by softer inflation in areas like fuel and travel, which have been cooling off in recent months. In fact, some experts believe that the softer inflation in these categories could help cushion the impact of rising energy prices.<\/p>\n\n\n\n

Even with these offsetting factors, the end of energy rebates will likely contribute to a slight uptick in inflation. But for most economists, this is not seen as a major concern, as the other factors at play are expected to balance things out.<\/p>\n\n\n\n

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Latest from our AAP #news<\/a> feed #auspol<\/a>
Inflation to stay on hold in first data post rates hike.
The first round of inflation data released after the Reserve Bank chose to lift interest rates will be handed down….
https:\/\/t.co\/hkcAUMlfrU<\/a><\/p>— Kim Wingerei (@kwingerei) February 22, 2026<\/a><\/blockquote>