Colombia: Inflation falls to lowest level in over a year
July 9, 2012
In June, consumer prices added 0.08% over the previous month. The reading was below both the 0.30% rise observed in May as well as market expectations of a 0.20% increase. The monthly figure mainly reflected how higher prices for leisure and housing were nearly entirely offset by lower transport prices. As a result of the monthly figure, annual headline inflation dropped from 3.4% in May to 3.2%, its lowest level since May 2011. The core inflation index, which excludes volatile items such as fresh food and fuels, added 0.20% month-on-month in June. As a result, annual core inflation fell from 3.8% in May to 3.6%, thus still within the Central Bank's target of 3.0%, with a +/- 1.0 percentage point tolerance margin.