Inflation expectations among Australian consumers rose marginally in May, a survey by the Melbourne Institute revealed Thursday.
The expected inflation rate climbed to 2.3 percent from 2.2 percent in April. However, it remains within the Reserve Bank of Australia's target band of 2 percent to 3 percent.
The RBA lowered its key rate by 25 basis points to a historic low of 2.75 percent at its meeting on 7 May. The consumer inflationary expectations, reported here, was based on a survey in the following week, said Viet Nguyen, a research fellow at the Melbourne Institute.
"It remains rather modest and appears to echo the views of the RBA - moderate inflation and moderate growth," added Nguyen.
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