FX.co ★ Australia’s MI Inflation Gauge Rebounds Sharply in March, Snaps February Decline

Australia’s MI Inflation Gauge surged in March 2026, reversing the mild deflation recorded a month earlier and signaling renewed price pressures in the economy.

The monthly indicator rose 1.3% in March on a month-over-month basis, a sharp turnaround from February 2026, when the gauge fell by 0.2% compared with January. The data, updated on 7 April 2026, show that after a brief period of falling prices, inflation has reaccelerated, with the latest reading highlighting a notable shift in short-term price dynamics.

The comparison is made on a month-over-month basis, meaning March’s 1.3% rise reflects the change from February, while February’s -0.2% figure captured the change from January. This swing from negative to solidly positive territory will likely draw close attention from market participants and policymakers tracking the trajectory of inflation pressures in Australia.