Australian prices rose by 0.1% in the first three months of 2009, following a quarter that suffered from deflation for the first time in two years. Inflation expectations estimated that the figure would actually be higher, after food prices rose by the most since since Q3 of 2006. Financial services seemed to weigh in on the metric by an unusual amount as the price for such goods dropped 6.3% in the period. For the 12 months ending in March, the cost of goods rose by 2.5%.
The news sparked some initial volatility among AUDUSD only to stabilize in the minute proceeding it. On average, the exchange rate was little changed.