Australian final PPI up 1.2% in March quarter

14:23, April 21, 2011      

Email | Print | Subscribe | Comments | Forum 

Australia's producer price index ( PPI) at the final stage of production rose 1.2 percent in the March quarter 2011 from the December quarter 2010 and increased 2. 9 percent from a year earlier, the Australian Bureau of Statistics (ABS) reported on Thursday.

Economists' forecasts had centered on the March quarter PPI to rise 1.0 percent for an annual rise of 2.7 percent.

The PPI figures for March quarter were slightly better than market expectations but there were no surprises, Australia's economists said on Thursday.

"We saw a pretty healthy increase in producer prices driven by rising oil costs and also agricultural goods, which were also up in the quarter," Australia's investment banking firm Macquarie Group associate economist Benjamin Dinte said.

"So rising petrol, rising food prices are going to be the key factors when we get the CPI (consumer price index) data next week. "

He said the Reserve Bank of Australia (RBA) would be looking more closely at the underlying CPI figures due for release on Wednesday, April 27, 2011, which he expected to be more contained.

Chief economist Stephen Roberts from Nomura Australia, a leading financial services firm, said the key story was that the domestic part of the PPI was showing signs of inflating, with domestic final stage PPI up by 1.4 percent in the quarter and up 3. 9 percent annually.

"So there's a fair bit of inflation building in the pipeline," Roberts said.

In the March quarter, at the intermediate stage, the PPI was up 2.3 percent, while at the preliminary stage it rose 2.6 percent, the ABS said on Thursday.

Over the year to March, at the intermediate stage the PPI rose 4.4 percent and at the preliminary stage it was up 5.5 percent.

Source: Xinhua
BRICS Leaders Meeting 2011
Japan in aftershocks
  Weekly review  
April 14   BRICS nations can be anchor of global economy, politics
April 13   China launches assault on child kidnapping
April 12   China's coastal seas unaffected by Japan's radioactive water
April 11   US has serious human rights abuses: China
April 16   The week in pictures
April 11   PM Kan offers thanks for 'Kizuna' on People's Daily
April 13   Stable BRICS nations prop up world development
April 13   US should stop acting like 'preacher' of human rights
April 15   GDP rises 9.7% in Q1, inflation surges too
April 14   Auditor lady's sudden death sparks overwork debate


  • Do you have anything to say?


Special Coverage
  • BRICS Leaders' Meeting 2011
  • Focus On China
Major headlines
Editor's Pick
  • 2011 New York International Auto Show highlights fuel efficiency
  • Palestinian PM supports non violence in struggle against Israel
  • Delicate ivory carvings
  • African lion gives birth to five cubs at Dalian Forest Zoo
  • Macedonia, Russia vow to enhance bilateral relations
  • Chile inaugurates first quick-charging station for electric cars in L America
Most Popular
Hot Forum Dicussion