Denmark: Inflation eases in October
November 10, 2020
Consumer prices inched up 0.19% in October over the previous month, contrasting the 0.10% fall recorded in September. Looking at the details of the release, October’s reading largely reflected higher prices for electricity, air travel and holiday rentals.
Inflation in October inched down to 0.4%, from September’s 0.6%, marking the lowest inflation rate in four months. Moreover, core inflation decreased to 0.9% in October from September’s 1.0%. Meanwhile, the trend remained unchanged for the seventh month running, with annual average inflation standing at 0.5% in October.
Looking ahead, price pressures are seen remaining largely stable until year-end. However, inflation is expected to rise at a stronger pace next year due to the anticipated economic recovery and strengthening aggregate demand.
Author: Marta Casanovas , Junior Economist