New Zealand Annual Inflation Eases to 7.2 Percent, Economists Warn of Higher Interest Rate Hikes

New Zealand’s quarterly inflation rose to 2.2 percent in the three months to September, while the annual inflation rate edged down to 7.2 percent, according to Stats NZ.
This follows a 1.7 percent quarterly inflation and 7.3 percent annual inflation over the 12 months to June—a 32-year high.
Inflation during the quarter was mainly driven by food, housing, and transport.
Vegetables rose 24 percent, the largest quarterly rise in vegetable prices since the series began in 1999,
“Tomatoes, lettuce, and broccoli drove this rise in vegetable prices,” Stats NZ senior manager Nicola Growden said.
Despite the slight drop in annual inflation, it still far surpassed expectations of around 6.5 percent….