Underlying Inflation — methodology

What this metric measures

The RBA's trimmed mean measure of consumer price inflation — the CPI with the largest price moves in each quarter stripped out — as year-ended growth.

Why it matters: The RBA sets interest rates against underlying inflation, not the headline CPI. Stripping out one-off price spikes gives the cleaner read of whether price pressure is broad-based.

Source & provenance

Publisher

RBA Table G1 (GCPIOCPMTMYP) — year-ended trimmed mean inflation

Update frequency

quarterly

Licence

CC BY 4.0

How the score is computed

The score is a 0–100 normalisation of the latest observation, compared to a baseline window. The traffic-light rating (RAG) reflects both the absolute level and the recent trend.

Direction

Lower is better

Trend window

24 months

Baseline

Last 10 years

{
  "red_min_pct_of_baseline": 110,
  "amber_max_pct_of_baseline": 110,
  "green_max_pct_of_baseline": 95
}