MI stands for Melbourne Institute and this indicator while it is perceived as being a second tier indicator, meaning low volatility or no market impact to come, only the fact that it refers to inflation levels makes it important. Anything related to inflation is extremely important as central banks all over the world have the mandate to keep inflation under control.
The full report of this indicator is available only to MI subscribers, and the indicator shows the percentage consumers expect the price of goods and services to change for the next 12 months.
The most important things to take into consideration when looking at the MI indicator in Australia are:
- release date: monthly, around 13 days after the month ends;
- release time:01:00 GMT during the Asian trading session;
- actual > forecast = positive for currency;
- actual < forecast = negative for currency;
- second tier data;
- tends to be volatile as anything related to inflation is closely watched by traders.