AUSTRALIA'S terms of trade have bounced off a 10-year low in the   June quarter as commodity prices rallied. 
The Australian Bureau of Statistics revealed the terms of trade, which measures the value of exports against the cost of imports, lifted for the first quarter since 2014.
CommSec analysis points to a 2.4 per cent rise, with exports up 1.4 per cent in the   June quarter, while import prices were down 1 per cent.
But exports were off 8.7 per cent for the year to   June, compared to a modest 2.8 per cent slide in import prices.
The rise in the quarter was driven by exports of metal ore, petrol and gold, partially offset by heavy falls in the prices of gas and cereals.
The biggest import price falls were seen in industrial machinery and equipment, office machines and clothing, only partially balanced by a sharp rise in petrol prices.
The news follows the release of mixed inflation numbers on Wednesday. They revealed a 17-year low annual rate but an uptick in consumer prices on a quarter-by-quarter basis.
The numbers left an interest rate cut next week firmly in the balance. The terms of trade rebound comes after five years of decline linked to the end of the commodity price boom.The Australian dollar was at US75.44c late yesterday.