Australia’s inflation rate for February disappoints, registering at 3.4%, falling below market expectations.

For the second consecutive month, inflation remained stable, buoyed by reduced prices in meat and seafood, countering upticks in rents and automotive fuel costs.

The Australian Bureau of Statistics reported on Wednesday that the Consumer Price Index (CPI) increased by only 3.4% year-on-year up to February, maintaining a pace similar to January and December, contrary to economists’ expectations of a 3.5% increase in February.

Excluding volatile items like fresh produce and fuel, inflation eased from 4.1% in January to 3.9% in the past month.

Holiday and accommodation prices continued their decline, mitigating price hikes in other sectors. This category saw a 1.3% decrease in prices over the year to February, albeit at a slower rate compared to previous months, partly influenced by Taylor Swift’s highly anticipated Eras tour.