Oil Prices Rebound in Asia as Venezuela Sanctions Risks Offset Ukraine Peace Hopes 
Fed Near Neutral Signals Caution Ahead, Shifting Focus to Fixed Income in 2026 
Asian Stocks Slide as Central Bank Decisions and Key Data Keep Investors Cautious 
Japan Business Sentiment Hits Four-Year High, Boosting Expectations of BOJ Rate Hike 
Ireland Limits Planned Trade Ban on Israeli Settlements to Goods Only 
Mexico Moves to Increase Tariffs on Asian Imports to Protect Domestic Industries 
Oil Prices Rebound as U.S.-Venezuela Tensions Offset Oversupply Concerns 
China’s Small Bank Consolidation Struggles as Profits Fall and Risks Persist 
S&P 500 Slides as AI Chip Stocks Tumble, Cooling Tech Rally 
Dollar Struggles as Markets Eye Key Central Bank Decisions and Global Rate Outlooks 
Asian Technology and Chipmaking Stocks Slide as AI Spending Concerns Shake Markets 
Gold Prices Dip as Markets Absorb Dovish Fed Outlook; Silver Eases After Record High 
Asian Currencies Steady as Fed Delivers Hawkish Rate Cut; Aussie and Rupee Under Pressure 
Wall Street Futures Dip as Broadcom Slides, Tech Weighed Down Despite Dovish Fed Signals 
Korea Zinc Plans $6.78 Billion U.S. Smelter Investment With Government Partnership 
Russia Stocks End Flat as Energy and Retail Shares Show Mixed Performance 
Australia’s Inflation Falls to Three-Year Low Amid Government Rebates
In the third quarter of 2024, Australian inflation dropped to its lowest level in three and a half years, driven by government subsidies on electricity and declining petrol prices. Data from the Australian Bureau of Statistics revealed that the Consumer Price Index (CPI) rose by 0.2%, slightly under the 0.3% forecast. Annual inflation now stands at 2.8%, down from 3.8%, aligning with the Reserve Bank of Australia's (RBA) 2-3% target range for the first time since 2021.
Key Drivers of Lower Inflation
Electricity prices saw a significant decrease of 17.3% due to government rebates, while petrol costs dropped by 6.2% in the third quarter. For September alone, CPI rose by a modest 2.1% year-on-year, marking the slowest pace since July 2021.
Sticky Core Inflation and RBA’s Policy Outlook
While headline inflation shows improvement, core inflation, measured by the trimmed mean, rose by 0.8% in the quarter, slightly above the projected 0.7%. However, the annual core inflation rate eased to 3.5% from 4.0%. Despite signs of cooling, services inflation remained high at 4.6%, with minimal change from the prior quarter’s 4.5%.
The RBA has maintained its current policy rate at 4.35% since November, assessing it as sufficiently restrictive to guide inflation to its target without harming employment growth. With the next rate review set for Tuesday, the central bank will consider its updated economic forecasts.
