The inflation rate for the 12 months to the end of March was just 1.6 per cent compared to 3.1 per cent for the same period last year, the bureau said.
..





There were big rises in the prices for pharmaceuticals and petrol, but falls in the cost of fruit, furniture, overseas travel and overseas accommodation produced by the high Australian exchange rate.

The Government will also credit its promise for a Budget surplus to be announced on May 8 for any Reserve Bank of Australia rate reduction.

The RBA has used interest rates to keep inflation under control. The low numbers today means the central bank is now more likely to relax interest rates when it meets next Tuesday.

Opposition Leader Tony Abbott was a week out when talking about the cost of borrowing being cut, apparently confusing the release of inflation data with the Reserve Bank's board meeting.

He told reporters today: "Should the Reserve Bank lower interest rates today, that will be welcomed.

"But that obviously is a matter for the bank."

Treasurer Wayne Swan lept onto the slip of the tongue to accuse the Opposition of economic confusion.

"It's no surprise Tony Abbott has no idea when interest rate decisions are being taken by the Reserve Bank," Mr Swan wrote on Twitter.

"After all, Abbott and co had no idea how much it hurt families when rates went up ten times in a row under the Liberals."

Australia's economy is teetering on the brink of collapse.

Whether you choose to believe that or not is your choice.

The reality the mining boom is hiding a set of fundamental indicators which are very poor on the whole.

It is not faring anywhere near as good as people would have you believe.

Andrei.Hicks wrote on Apr 25^th, 2012 at 2:52pm:

Yet EVERY indicator proves you wrong.

BatteriesNotIncluded wrote on Apr 25^th, 2012 at 2:54pm:



I didn't say that my insane friend.
I said the mining boom is masking an otherwise not particularly pretty picture for Australia.

skippy. wrote on Apr 25^th, 2012 at 2:54pm:


Do you include the construction industry in those indicators?
Have a look at them.
I was chatting to a guy the other day who works in construction in Sydney and he painted a frightening picture of what they are going through.

Companies are pricing $0 to get the contracts and trying to make money on the materials.
Why?
Because there is zero building going on in the large scale, so the big companies are pushing into the middle and lower markets.
Which in turn is pushing the self contractors out and to the wall.
He told me in Melbourne a sub-contractor is going bust every 3 days where he works.
He said traditional companies like Pilkington etc are getting arse-raped by the Chinese companies on price and all of the stuff is being imported now and not made.

But hey mate, you just pretend everything is all fine.
No skin off my nose, I am just telling you don't fall for the propaganda.

skippy. wrote on Apr 25^th, 2012 at 2:54pm:


Do you include the construction industry in those indicators?
Have a look at them.
I was chatting to a guy the other day who works in construction in Sydney and he painted a frightening picture of what they are going through.

Companies are pricing $0 to get the contracts and trying to make money on the materials.
Why?
Because there is zero building going on in the large scale, so the big companies are pushing into the middle and lower markets.
Which in turn is pushing the self contractors out and to the wall.
He told me in Melbourne a sub-contractor is going bust every 3 days where he works.
He said traditional companies like Pilkington etc are getting arse-raped by the Chinese companies on price and all of the stuff is being imported now and not made.

But hey mate, you just pretend everything is all fine.
No skin off my nose, I am just telling you don't fall for the propaganda.