SYDNEY. Aug 7: Australia got more good news on inflation today with official figures showing restrained wages growth over the past year, says Reuters.

But economists expressed concern about the current account after the Australian Bu-. reau of Statistics announced a trade deficit for June of more than A$1.5 billion (US$960 million).

The ABS said average weekly ordinary time earnings rose 0.6 per cent in the second quarter for an annual rise of 2.8 per cent. Market forecasts had centred on a 0.9 ppxSPAft the quarter, while annual wages growth in the first quarter had been 3.1 per cent.

The June balance of goods and services was a AS1.525 billion deficit, compared with May's revised A$1.523 billion shortfall. The ABS said both exports and imports were flat over the month.

Economists welcomed the wages figures as proof of a lack of inflationary pressures — giving the Reserve Bank of Australia the chance to hold steady on Interest rates — but sounded a note of caution over the trade data.

"I. don't think we can stop worrying about the current account deficit. It does mean that for the quarter, the deficit to GDP is around 6.3 per cent and that's up from 5.9 per cent in the grevious quarter." said Bill vans, head of economics at

Westpac Banking Corp.