SYDNEY, Dec 3 (Reuters) – Australia’s economy grew at the fastest annual pace in two years in the September quarter, with strength across business investment and consumer spending suggesting little scope for more policy easing, data showed on Wednesday.

Inflation measures in the report also remained high, which led to strong nominal growth and underscored price pressures just as the central bank chief said the economy could be already at its potential growth limit.

Data from the Australian Bureau of Statistics showed real gross domestic product (GDP) rose 0.4% in the third quarter, slowing from an upwardly revised 0.7% in the previous quarter. However, the increase missed forecasts for a gain of 0.7%.

The quarterly growth slowed because of an outsized drag in inventories which took off

See Full Page