Australia's consumer prices rose slightly in February due to price rises for fruit and vegetables, alcohol and tobacco, and automotive fuel, according to a private survey released on Monday.
The TD Securities-Melbourne Institute inflation gauge, a monthly survey by the investment dealer TD Securities and the Melbourne Institute of Applied Economic and Social Research, rose 0.1 percent in February, following a 0.2 percent rise in January.
In the twelve months to February, the inflation gauge increased by 2.0 percent, following a 2.2 percent rise for the year to January.
Price rises for fruit and vegetables, tobacco, alcohol and automotive fuels were mainly responsible for the increase in February, the survey found.
The price of fruit and vegetables were up 1.8 percent in February, while fuel prices rose 0.5 percent.
These rises were offset by a sharp seasonal fall in holiday travel and accommodation, along with price falls in furniture and furnishings, insurance and financial services, TD Securities said.
Head of Asia-Pacific Research at TD Securities Annette Beacher said the annual inflation gauge forecasts remained within the target range of the Reserve Bank of Australia (RBA).
"For the RBA Board meeting tomorrow, members will note that there has been next to no evidence of a material softening of domestic demand in the last four weeks," she said.
"The easiest decision is to leave the cash rate at neutral for another month, and indeed it is increasingly likely to remain the case for several months to come."