Inflation falls more than expected in May
Some good news: the inflation which has driven up your cost of living over the past year has slowed.
Fresh economic data out this morning showed inflation eased in the month of May -- a strong hint that more interest rate cuts are on the way.
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News.com.au
38 minutes ago
- News.com.au
Closing Bell: Banks lead ASX recovery as CPI softens to 2021 levels
May CPI reading comes in soft at 2.1pc Low inflation prompts banking stock rally, lifting financials Banks and financials prop up flailing ASX, pulling market back into positive The ASX 200 recovered from a midday slump to add just 3.7 points or 0.04% today. The recovery came after May's inflation reading came in soft, prompting a rally in the financial sector. More on that in a moment. The ASX 200 Resources (-1.3%) and ASX All Ord Gold (-2.2%) indices weighed heavily on the bourse, with several of the larger gold miners floundering. Emerald Resources (ASX:EMR) fell 10.3%, Pantoro (ASX:PNR) 4%, Capricorn Metals (ASX:CMM) 4.7%, Perseus Mining (ASX:PRU) 3.4% and Northern Star Resources (ASX:NST) 2.3%. RBA expected to cut rates in July as inflation falls Australian consumers can breathe a sigh of relief as inflation continues to cool in the lucky country, falling to 2.1% over the year to May and 2.4% in terms of annual trimmed mean, a measure of underlying inflation. That's the lowest inflation rate we've experienced since November 2021, when half the world was in lockdown to tackle the Covid-19 pandemic. What does it mean? For one, the chance of the Reserve Bank cutting rates in July is getting pretty close to certain – the market is pricing an 88% probability at this stage. "Today's figures show the RBA is tantalisingly close to being declared the winner in its fight against inflation. Headline inflation dropped to 2.1% year on year in May,' Oxford Economics Australia economic analyst Ivy Yu said. Yu reckons the rate cut is a strong possibility in July, but given the RBA prefers the more detailed quarterly CPI data, that cut could be pushed back to August. 'But the evidence is clear now; inflation is in a better position than expected, so there's no need to wait – especially when household spending is sluggish and global events rattle confidence." Our seven major banking stocks moved higher on the news, adding between 0.64% and 1.75% while the ASX 200 Banks index climbed 1.35%. ASX SMALL CAP LEADERS Today's best performing small cap stocks: Security Name Last % Change Volume Market Cap OVT Ovanti Limited 0.008 167% 3.19E+08 $9,016,545 RLC Reedy Lagoon Corp. 0.002 100% 5227468 $776,707 FTC Fintech Chain Ltd 0.003 50% 420464 $1,301,539 TEG Triangle Energy Ltd 0.003 50% 3781571 $4,178,468 ATR Astron Corp Ltd 0.65 49% 175974 $90,991,450 SRJ SRJ Technologies 0.007 40% 3865016 $3,027,890 OLY Olympio Metals Ltd 0.11 38% 2611992 $7,045,384 HCD Hydrocarbon Dynamics 0.002 33% 2466797 $1,617,164 MGU Magnum Mining & Exp 0.004 33% 172779 $3,364,953 IFG Infocusgroup Hldltd 0.014 27% 4400737 $3,035,580 EVG Evion Group NL 0.019 27% 2289821 $6,523,800 NHE Nobleheliumlimited 0.03 25% 2352993 $14,388,600 ADG Adelong Gold Limited 0.005 25% 1863202 $8,274,707 AN1 Anagenics Limited 0.005 25% 105000 $1,985,281 OMG OMG Group Limited 0.005 25% 1721869 $2,913,180 PKO Peako Limited 0.0025 25% 746857 $2,975,484 LIS Lisenergylimited 0.115 24% 6354283 $59,538,621 TGH Terragen 0.021 24% 560 $8,585,292 AHN Athena Resources 0.008 23% 2559163 $14,728,721 ZMM Zimi Ltd 0.011 22% 84220 $3,847,894 BPH BPH Energy Ltd 0.009 20% 3048217 $9,136,746 RBX Resource B 0.03 20% 429237 $2,879,612 DTI DTI Group Ltd 0.006 20% 182964 $4,147,098 FRX Flexiroam Limited 0.006 20% 200019 $7,586,993 OLI Oliver'S Real Food 0.006 20% 2846964 $2,703,660 Making news… Ovanti (ASX:OVT) has brought ZIP Co (ASX:ZIP) executive Peter Maher onto the board as CEO of the company's buy now, pay later division in the US. Maher is current USA head of enterprise merchant partnerships at ZIP, with extensive experience in commercial expansion, enterprise growth and platform integrations in North America. He'll be leading the company's US market entry strategy, managing commercial partnerships, platform activation and consumer product launch. Reedy Lagoon (ASX:RLC) has drummed up a set of drilling targets at the Burracoppin gold project with a combination of magnetic and soil sampling data. The company will be drill testing four prospects – Lady Janet, Windmills, Shear Luck and Zebra – in its quest for gold, with the target zones stretching up to 800m in strike length. Astron Corporation (ASX:ATR) has gotten a tick of approval for a work plan from the Victorian government for the Donald rare earths and mineral sands project, taking it a step closer to a final investment decision. ATR wants to fill the gap in rare earths supply for the US, responding to export restrictions from China. If the project goes ahead as planned, feedstock from Donald will be shipped to a mill in Utah to be processed into separate oxides for domestic North American customers and beyond. Evion Group (ASX:EVG) has locked in a $400,000 order to supply a leading US-based graphite supply chain company with 80 metric tonnes of expandable graphite from its Panthera JV project in India. EVG is in talks with several other potential offtake partners in the US, Europe and Asia, as an ex-Chinese source of expandable graphite. The company reckons this order is just the first of many, as demand from US industries grows. Adelong Gold (ASX:ADG) has tapped experienced geologist Luke Olson as exploration manager, beginning July 1. Olson most recently worked on the Lauriston and Apollo gold projects, both of which are now owned by ADG. The company is looking to ramp-up exploration across its Victorian gold portfolio and will be keen to leverage his local expertise. ASX SMALL CAP LAGGARDS Today's worst performing small cap stocks: Security Name Last % Change Volume Market Cap AUK Aumake Limited 0.002 -33% 16655 $9,070,076 AXP AXP Energy Ltd 0.001 -33% 660000 $10,027,021 JAY Jayride Group 0.001 -33% 64010 $2,141,834 QXR Qx Resources Limited 0.002 -33% 621887 $3,930,987 RAN Range International 0.001 -33% 2836500 $1,408,935 PV1 Provaris Energy Ltd 0.012 -29% 4115559 $11,866,022 SHE Stonehorse Energy Lt 0.005 -29% 1381 $4,791,046 X2M X2M Connect Limited 0.019 -27% 3058223 $10,092,728 BP8 Bph Global Ltd 0.0015 -25% 29225 $2,101,969 HLX Helix Resources 0.0015 -25% 2542854 $6,728,387 VFX Visionflex Group Ltd 0.0015 -25% 7034438 $6,735,721 BVR Bellavistaresources 0.255 -24% 17071 $33,795,656 VAR Variscan Mines Ltd 0.007 -22% 1974500 $7,045,719 MIO Macarthur Minerals 0.015 -21% 105992 $3,793,645 OLH Oldfields Holdings 0.02 -20% 40500 $5,326,478 ANX Anax Metals Ltd 0.004 -20% 6554760 $4,414,038 CYQ Cycliq Group Ltd 0.002 -20% 1922500 $1,151,292 EAT Entertainment 0.004 -20% 75231 $6,543,930 FIN FIN Resources Ltd 0.004 -20% 899998 $3,474,442 KPO Kalina Power Limited 0.004 -20% 7946031 $14,664,978 LMG Latrobe Magnesium 0.008 -20% 5633324 $26,265,900 MEL Metgasco Ltd 0.002 -20% 179775 $4,581,467 OEL Otto Energy Limited 0.004 -20% 10745371 $23,975,049 SHP South Harz Potash 0.002 -20% 2476679 $2,756,822 AR9 Archtis Limited 0.165 -20% 2029116 $59,033,266 IN CASE YOU MISSED IT Trek Metals (ASX:TKM) has secured a diamond rig to carry out deeper drilling in parallel with RC drilling at its Christmas Creek gold project. Break it Down: Astral Resources (ASX:AAR) has completed a PFS for its Mandilla gold project, highlighting strong economics amid a record gold price. Greenvale Energy (ASX:GRV) is setting the stage for maiden drilling at its Oasis uranium project in Queensland where historical exploration had demonstrated continuous, high-grade mineralisation. A thorough surface geochemistry review at Future Battery Minerals' (ASX:FBM) Miriam project has identified 15 distinct gold anomalies and revealed an emerging 1.75km gold trend. Stocktake: Indiana Resources (ASX:IDA) will pay out its shareholders 5 cents a share, after an ATO ruling that will make the cash return tax free. Taruga Minerals (ASX:TAR) is expanding its exploration plans at its new Thowagee project in the Gascoyne region of WA on the trail of gold, lead and silver trends. TRADING HALTS
Herald Sun
2 hours ago
- Herald Sun
Revealed: Australia's 50 supercharged suburbs for price growth
A suburb once written off is now Australia's hottest housing market, and the property rebound is only getting started. Frankston, in Melbourne's outer south, has topped a new list of Australia's 50 most 'supercharged' suburbs for price growth, with insiders warning buyers could soon be priced out if they hesitate. Hotspotting's Winter 2025 Price Predictor Index highlights suburbs showing surging sales activity, a leading indicator of future price growth. And it's not just Frankston making a move. RELATED: Award-winning house scores six-figure bonus $2m estate boasts three homes, wedding aisle Iconic Melb site snapped up in $23m deal Melbourne suburbs dominated the list with 18 entries, followed by strong results from the Gold Coast, Adelaide, Darwin and even Sydney's south. Melbourne Property Advocates director Simon Murphy said Frankston's transformation was 'just going gangbusters.' 'They're putting up big apartments, office buildings, the hospital's been redone … zoning's been upgraded to three, six storeys in some areas,' Mr Murphy said. 'They're really trying to make Frankston the place to be' Mr Murphy warned entry-level buyers were now struggling to get in. 'You really need a purchase price of $800,000 just to get a look into the market,' he said. 'Frankston North's always the first suburb to go up — and the first to go down — but this time, I think its price will soon catch Langwarrin.' Hotspotting founder Terry Ryder said Frankston's rise reflected a wider turnaround in Melbourne's outer zones. 'Frankston has gone from underperformer to frontrunner,' Mr Ryder said. 'Melbourne began recovering in late 2024 and the uplift has only accelerated this year.' Mr Murphy said demand was now flowing into Carrum Downs, Langwarrin and Werribee, which also made the list. 'Langwarrin's very family-focused. Carrum Downs has stigma but great value — four-bed homes on good land, double garages,' he said. 'Werribee's still under $600,000 and just 10 minutes further than Melton. It's still affordable.' In Sydney, Michelle May Buyers Agent director Michelle May said market momentum had shifted south to the St George and Bankstown corridors, areas now backed by Metro upgrades and comparative affordability. 'The migration from the east has gone to the inner west, and now the inner west demographic is moving down to St George and the Sutherland Shire,' Ms May said. 'We've been inundated with inquiry since Q4 2024. There's a lot of money still out there. 'Clearance rates hit 70 per cent here last weekend for the first time in ages — prices are going up.' But Ms May warned that supply remained tight — especially for downsizers — and three-bedroom apartments were in short supply. 'Downsizers are competing with young families for the same limited stock. They've got deeper pockets — and young families just can't compete,' she said. The Sydney buyers agent said Bankstown and Bexley, both on Hotspotting's list, were benefiting from transport links and better perceived value. 'Cross the Cooks River and you get green space, lifestyle and a 15-20 per cent discount on the inner west,' she said. On the Gold Coast, low stock levels and interstate demand are pushing prices north. Cohen Handler Associate Director Luke Serhan said listings were down up to 40 per cent year-on-year in some suburbs. 'Miami's still a bit undercooked compared to Mermaid Beach, but Elanora is taking off,' Mr Serhan said. 'Southport's been huge — it's central and getting a lot of movement. 'We're seeing so much buyer interest that anything that hits the market becomes competitive instantly.' Mr Serhan said confidence surged the weekend after recent rate cuts. 'Buyers are still picky because they've been used to choice, but I think FOMO is coming back. They'll soon have to buy what's available.' The Cohen Handler Associate Director said lifestyle remained the Gold Coast's trump card. 'People are choosing proximity to the beach over the metro lifestyle of Brisbane. We're even seeing Brissie locals relocating here,' South Australia also made a strong showing, with 11 suburbs and towns on the list including Ingle Farm and Christies Beach. Lands Real Estate's Matthew Lipari said Ingle Farm had seen sales rise steadily over 18 months. 'It's in high demand right now because of its price point and development over the past decade,' Mr Lipari said. He said the demographic was changing quickly. 'Older vendors who've lived here 20, 30, 40 years are selling to younger buyers. But even some developers are being priced out — we've seen buyers miss out multiple times at opens and auctions.' Mr Ryder said Adelaide remained one of Australia's most consistent growth cities. 'It's been rising longer than any other and continues to deliver,' he said. The surprise twist in this quarter's index was Darwin, with 92 per cent of suburbs now ranked as rising and none in decline. Hotspotting General Manager Tim Graham said the comeback was real. 'Six months ago we said Darwin was about to boom, and the numbers have proven it,' he said. With national buyer activity rising and listings still tight, experts say the window for bargain buys is closing. 'People are realising the market isn't going to come to them,' Mr Murphy said. 'They're jumping back in, and they're bringing competition.' Additional reporting by Jessica Brown HOTSPOTTING'S TOP 50 SUBURBS FOR CAPITAL GROWTH Sign up to the Herald Sun Weekly Real Estate Update. Click here to get the latest Victorian property market news delivered direct to your inbox. MORE: Global second-hand fashion fave eyes Geelong First-timers' surprise win at Geelong West $5m+ Melb pad has games house, soccer pitch
ABC News
2 hours ago
- ABC News
Aldi remains the cheapest place to shop for groceries, according to Choice report
Consumer advocacy group Choice today released the results of its quarterly, government-funded report on supermarket prices across Australia. Aldi was named the cheapest when it came to a sample basket of groceries, followed by Woolworths, Coles and IGA. The group says despite recent cuts to interest rates that have provided some relief to mortgage holders, the cost of living continues to trouble many Australians. Here is how the supermarkets compare and how you can make sure you are getting the best value at the check-out. Without including specials, the average full basket of 14 items cost: Looking at the individual items on the list (without specials), Coles had the best deal on apples, Woolworths had the cheapest chicken breasts and pumpkin, and at IGA you paid less for carrots and garlic than at the other three supermarkets. Aldi had the best price on everything else. The average prices across each state and territory were: ACT: NSW: Northern Territory: Queensland: South Australia: Tasmania: Victoria: Western Australia: Aldi is not available in all states and territories. Choice has slightly tweaked the contents of the basket after feedback from consumers. They asked for more visibility and fresh foods to be included. Winter items such as hot chocolate, ingredients for pumpkin soup and porridge were also included. The products purchased at each supermarket were: Last year's pricing comparison found that Aldi was 25 per cent cheaper than Coles and Woolworths but this one does not appear to suggest similar. According to this year's report, Woolworths appears 6.4 per cent more expensive than Aldi and Coles 6.9 per cent. Choice CEO Ashley de Silva said the methodology had not changed but the selected items had. "Our base basket of items in Year 2 is different to our base basket of items in Year 1," she said. "Our new emphasis on fresh foods — something we've been asked to focus on by our audience — is a big reason why we've seen the percentage differences between our basket totals change, as fresh and seasonal items tend to be more competitively priced." Choice is in it second year of comparing supermarket baskets and it says this quarter, it has changed how it does it. The peak body says it considered factors such as ingredient lists, country or origin and packaging similarities to ensure fair comparisons were made. "When items were unavailable, we looked for the closest alternative just as you would when shopping for your family," the report wrote. "We've also reduced the size of our base basket this year to allow us to add more spotlight items each quarter, so that we can compare a wider variety of products across the year. "We'll be able to track changes to the base basket as prices fluctuate across the year, and also include a wider variety of new items each quarter." Choice said it surveyed 104 supermarkets – 27 Woolworths, 27 Coles, 23 Aldi and 27 IGA stores – in 27 locations across Australia in March 2025. Supermarket locations were chosen to give good coverage of socio-economic status based on ABS Indexes and geographic spread across the country. Supermarkets were surveyed in clusters so that each store had local competition, and it calculated the average price of the basket of goods, both with and without specials. "A price was deemed to be a special when we had evidence of a temporary price reduction. "There were 14 grocery items in each basket (10 fresh and 4 packaged items)." In a statement provided to the ABC, a spokesperson for Coles said the Choice basket "doesn't capture our full winter offer for customers". "This month, we lowered the price of more than 300 products for 12 weeks to help provide relief to households this winter, which, combined with other current deals means more than a thousand items at Coles are currently reduced in price. "We appreciate the increased transparency in Chioce's recent quarterly report on grocery prices across supermarkets, which for the first time discloses the list of items from each basket." A spokesperson for Woolworths told the ABC it had also launched a lower winter price program, "which has reduced prices on hundreds of winter essentials by an average of 18 per cent for the next three months". "Products on Lower Winter Price include pantry staples, frozen foods, personal care, and baby care, and are designed to give customers certainty on the key products they'll be buying this season to help their budgets go further. "Year-on-year prices in our Australian Food business have now declined for five consecutive quarters and we remain committed to delivering value for our customers every time they shop with us." It can be hard to compare prices of different-sized products from different brands, but unit pricing lets you compare prices based on the price per unit e.g. 100 grams or 1 litre. All supermarkets are required by law to include this information in labelling, both online and instore. The Australian Competition and Consumer Commission (ACCC) gives some good examples of this: Switching between stores and shopping at different supermarkets to take advantage of specials can deliver significant savings. Starting at Aldi is the best way to save at the check-out, according to Choice. Swap expensive cuts of meat for cheaper alternatives, look at frozen fruit and veg, particularly if shopping for produce out of season, and give the ugly fruit and vegetables a go. Nutrition academics say frozen produce can be just as healthy as fresh fruit and veggies — sometimes even healthier. Also, don't be afraid to try house brand products. The next supermarket price comparison will be released in September.
