Inflation retreated in May to 5.6%, easing fears RBA will again raise interest rates

Consumer price index fell in May from 6.5% in April showing further signs that the worst of inflation may be over

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Australia's monthly inflation rate retreated in May, easing fears the Reserve Bank will hoist its key interest rate again at next Tuesday's board meeting.

The headline consumer price index increase last month was 5.6%, the lowest since April 2022, the Australian Bureau of Statistics said on Wednesday. Economists had expected the measure to drop from April's 6.8% level to 6.1%.

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