CPI up 0.2%

The Consumer Price Index - a key measure of inflation, -was weaker-than-expected, rising 0.2% in the December quarter after rising 1.4% in the September quarter 2012, according to ABS data. In the year to December CPI rose 2.2%, in the middle of the Reserve Bank of Australia's target range of 2 to 3%. The health sector fell 0.9% in the quarter. Over the 12 months to the December quarter 2012, the health group rose 7.7%. The main contributors to the rise were medical and hospital services (+9.4%), pharmaceutical products (+5.4%) and dental services (+3.4%).