Australian Household Spending Rises at Fastest Pace in Two Years

Australian household spending rose at its fastest pace in two years in March, driven by a spike in gasoline prices following the outbreak of war in Iran and complicating the Reserve Bank’s efforts to cool the economy.

Consumer outlays expanded 6.3% from a year earlier, exceeding economists’ estimate of 6.1%, according to Australian Bureau of Statistics data released Tuesday. On a monthly basis, spending rose 1.6%, slightly trailing forecasts for a 1.8% gain, but still representing significant resilience in the face of surging costs.