Ecuador: Inflation ebbs in September from August
Latest reading: Consumer prices rose 0.7% on a year-on-year basis in September, following a 0.8% rise in the previous month.
Relative to the prior month’s figures, there were milder price pressures for food and non-alcoholic beverages (+0.6% on a year-on-year basis vs +1.2% in August), clothing and footwear (-4.3% vs -4.0% in August) and restaurants and hotels (+1.2% vs +1.3% in August). In contrast, there were more notable price pressures for transportation (+0.1% vs -0.8% in August) and communication (-0.2% vs -0.3% in August).
Lastly, consumer prices were up 0.08% in September on a month-on-month basis, following a 0.31% increase in the prior month.
Panelist insight: Commenting on the outlook, Sergio Armella, economist at Goldman Sachs, stated:
“Diesel prices remained unchanged for a long time, and the higher prices observed since September are expected to contribute to some inflationary pressures next month too. Over the coming months annual inflation will face headwinds from adverse base effects.”