FX.co ★ Australia’s MI Inflation Gauge Cools in August, Halving Month-on-Month Pace

Australia’s Melbourne Institute (MI) Inflation Gauge showed a clear moderation in price pressures in August 2026, with month-on-month growth easing to 0.5% from 1.0% in July. The latest data, updated on 31 August 2026, signal that the pace of consumer price increases has slowed notably compared with the previous month.

The August reading, measured on a month-over-month basis, reflects a softer rise in prices relative to July, when the indicator climbed 1.0% compared with June 2026. According to the comparison methodology, the “Actual” figure captures the change in August versus July, while the “Previous” figure reflects July’s change versus June.

The halving of the indicator’s monthly rate suggests some cooling in short-term inflation momentum as the third quarter progresses, and will likely be monitored closely by markets and policymakers for implications on the broader inflation trajectory and potential policy responses.