Australia Inflation Warning: Fuel Shock Could Push Prices Past 5% as Canberra Rules Out Rationing
Fuel rationing isn’t on the table in Australia, despite Treasurer Jim Chalmers admitting the government’s scenario of inflation hitting 5% is looking “pretty conservative”—a nod to how quickly the oil shock has outpaced February’s slight dip in consumer prices. That puts Canberra in the tricky position of reassuring drivers, all while acknowledging the economic blow from the Middle East conflict keeps deepening. This is relevant, given the softer February print is already out of date. Annual consumer price inflation eased to 3.7% from 3.8%, while the trimmed mean — the Reserve Bank of Australia’s preferred core measure, which excludes volatile items — remained at 3.3%. The ABS noted a 3.4% drop in automotive fuel during February, but all that came
