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Cliff Notes: Confidence Over Inflation Requires More Time

In Australia, partial updates on consumption came in on the softer side. Growth in nominal retail sales turned negative in March, down –0.4% (0.8%yr), the decline broad-based across sectors, with food retailing the only segment to record a gain. Downward revisions to prior months also weighed on Q1’s nominal result, leaving it materially below expectations at just 0.2%. Based on data from the Q1 CPI, prices look to be offering nominal growth less support, with outright price declines observed across clothing and several consumer durables in recent months. ....

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