ANZ chief economist Cameron Bagrie said yesterday prices in the gauge lifted 0.2% in May and were up 2.3% annually.
The underlying ex-housing gauge also lifted 0.2% and was now up 1% on an annual basis.
Some sizeable lifts came through in miscellaneous services, providing some impetus to the ex-housing gauge.
The 1% annual rate in the ex-housing gauge was the strongest since November 2014. However, beyond the miscellaneous services category, prices movements were benign - a case of ''nothing to see here'', he said.
Prices in the housing group were flat. The purchase of housing was up again, but was offset by a small fall in rents.
ANZ used official data from MBIE and it was not showing any real sign of rents rising to match anecdotes houses were increasingly hard to find and rents were skyrocketing in some regions, Mr Bagrie said.
In the month, other positive contributions came from accommodation services and dwelling insurance.
Domestic airfares made the largest negative contribution.
Of the 36 groups in the gauge, eight rose, two fell and 26 remained unchanged.
''We are mindful nudges can be the start of building momentum. However, we've been here before. We saw similar moves this time last year and nothing transpired.
''Until we see more consistent pushes across multiple groups, our assessment of the inflationary picture will remain benign,'' he said.
