Australia's annual inflation rate decreased to 3.5% in July, driven by housing, food, and transport costs.

Australia's annual inflation rate declined to 3.5% in July, with the Consumer Price Index (CPI) increasing by 3.5% in the 12 months to July, down from 3.8% in June. Key drivers of inflation include housing prices (4% increase), food and non-alcoholic beverages (3.8% increase), alcohol and tobacco (7.2% increase), and transport costs (3.4% increase). Electricity prices fell by 5.1% due to government rebates. Treasurer Jim Chalmers described the figures as encouraging progress in the fight against inflation, with the aim for inflation to fall further and faster.