Fed:Interest rate rise looking less likely this year after CPI

AAP General News (Australia)
04-24-2007
Fed:Interest rate rise looking less likely this year after CPI

Economists say interest rates look set to remain hold for the next few months and possibly
throughout the year .. after new inflation data showed benign price pressures.

That's good news for home-buyers .. and the federal government ahead of this year's election.

The Bureau of Statistics say the consumer price index rose just point one per cent
in the first quarter .. for an annual rate of 2.4 per cent .. its lowest level in two
years.

Treasurer PETER COSTELLO says the news shows inflation in Australia is moderate ..

and families will welcome the fact prices hardly rose in the March quarter.

AAP RTV cb/mfh/imc/bart

KEYWORD: INFLATION (CANBERRA)

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