Australia Monthly CPI Indicator

Australia’s monthly Consumer Price Index (CPI) rose 3.5% yoy in September 2025, up from 3.0% in August and above expectations of a 3.1% increase, remaining above the Reserve Bank of Australia’s 2–3% target range. This marked the highest inflation reading since July 2024, driven primarily by rising housing and transport costs. Housing inflation accelerated to 5.6% from 4.5% in August, its highest level since November 2023, largely due to a 33.9% surge in electricity prices as state government rebates were gradually exhausted by households. Transport prices climbed to a 14-month high of 2.3%, driven by a rebound in automotive fuel prices (2.8% vs -1.7% in August), while food inflation accelerated to a three-month high of 3.1%. Meanwhile, the annual trimmed mean inflation rose to 2.8% in September, the highest in five months, up from 2.6% in August. Core inflation—which excludes volatile items and travel—also increased, rising to 3.7% from 3.4%, marking its highest level in 14 months.