Israel: Inflation remains within the Central Bank's target range in July
August 15, 2018
Consumer prices in Israel were unchanged from the previous month in July, contrasting June’s 0.1% month-on-month increase. The result reflected higher prices for fresh vegetables and fruit, transport, and food that were offset by lower prices for clothing and footwear, and health.
Inflation edged up to 1.4% in July from 1.3% in June. As a result, inflation remained within the Bank of Israel’s 1.0%–3.0% target range for the second consecutive month. Annual average inflation, meanwhile, jumped to 0.4% in July from 0.2% in the previous month.
Lastly, core inflation—which excludes volatile energy prices—was stable in July at June’s 1.0%.
Israel Inflation Forecast
FocusEconomics Consensus Forecast panelists expect inflation to average 0.7% in 2018, which is unchanged from last month’s forecast. For 2019, our panel sees inflation averaging 1.3%.
Author: Jan Lammersen, Economist