Australia's Steepest Deflation in 72 Years

Discussion in 'Property Market Economics' started by Waterboy, 29th Jul, 2020.

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  1. Waterboy

    Waterboy Well-Known Member

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    Australia slips into deflation after CPI suffers biggest quarterly loss in 72 years

    Australia slips into deflation after CPI suffers biggest quarterly loss in 72 years

    Australia's consumer price index (or CPI) fell 1.9 per cent in June 2020 quarter, marking the biggest plunge in the history of the measurement.

    New data from the Australian Bureau of Statistics (ABS) shows the dip was the largest quarterly fall in the 72-year history of tracking the CPI.

    The CPI is a measure of retail prices of what the ABS calls a "constant basket of goods and services" for Australian households.    ​

    Low Rates for Longer!!!
     
    Waterboy, 29th Jul, 2020
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  2. wilso8948

    wilso8948 Well-Known Member

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    Worth mentioning -

    The biggest contributors to Australia's deflation in the June quarter were childcare (costs down 95 per cent due to government initiatives)

    Mr Hockman says if it weren't for the fall in childcare costs and fuel in the June quarter, the CPI would have risen 0.1 per cent.
     
    wilso8948, 29th Jul, 2020
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  3. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    bloody kids!
     
    Terry_w, 29th Jul, 2020
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  4. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    Toilet paper, sanitiser, pasta, rice etc all went up with gouging.
    Baby fomula = fell due to oversupply with a demographic afraid to shop in a wolfpack
    Prices for energy fell slightly BUT resi demand rose massively while commercial demand fell but CPI doesnt factor in volume, just a "basket of goods" price.

    The one I want to see will be GDP.
     
    Paul@PAS, 29th Jul, 2020
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  5. Speede

    Speede Well-Known Member

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    aus is finished
     
    Speede, 29th Jul, 2020
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  6. ttn

    ttn Well-Known Member

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    That CPI calculation is crap - car, health, home & contents insurances, groceries like meat, vegie and fruits and even Glen20 are no away the same price as pre-covid
     
    ttn, 29th Jul, 2020
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