Austria: Inflation rises in September
October 15, 2010
In September, consumer prices rose 0.4% over the previous month, which doubled the 0.2% increase recorded in August. The monthly price rise was mainly the result of higher prices for clothing and footwear (August: +4.3% month-on-month; September: +11.3% mom), owing to the seasonal change in clothing stocks for autumn and winter. On an annual basis, inflation rose from 1.7% in August to 1.9% in September, which reflected increasing prices for mineral oil products (August: +10.0% year-on-year; September: +12.7% yoy). Furthermore, annual harmonised inflation (HICP) rose from 1.6% in August to 1.8% in September. In its biannual economic outlook report, the Central Bank raised its inflation forecasts and now expects harmonised inflation to average to 1.7% for both this year and next, up from its previous forecast of 1.5% for this year and 1.6% for 2011.
Author: Ricardo Aceves, Senior Economist