The Australian Bureau of Statistics reported on Wednesday that the annual Consumer Price Index rose by 3.0% in August, the fastest pace since July 2024. This exceeded both market expectations of a 2.9% increase and the prior reading of 2.8%.

The data highlights accelerating inflationary pressures on policymakers at the Reserve Bank of Australia, reducing the likelihood of an interest rate cut next week.

This release is considered positive for the Australian dollar.