PPI also descends into outright deflation

Friday 31 July 2020

The Australian Bureau of Statistics (ABS) today released Producer Price Index (PPI) data for the June quarter, which registered a 1.2% quarterly fall in final (stage 3) prices:

This follows a 1.9% decline in the CPI over the June quarter.

The next chart plots the annual change in both of these series, with both plunging into outright deflation:

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About the author

Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.