Italy: Consumer prices mark second consecutive annual drop since 1959
September 30, 2014
According to preliminary data for September, consumer prices fell 0.3% over the previous month, which contrasted the 0.2% increase recorded in August. The result slightly undershot the 0.2% decrease the market had expected and was driven by lower prices for transport and energy. Consumer prices fell 0.1% over the same month last year. The figure met August’s reading, which had marked the first annual drop since 1959.
Core consumer prices, which exclude more volatile categories, such as unprocessed food and energy, fell 0.4% in September over the previous month, which contrasted the 0.4% increase recorded in August. Annual core inflation was stable at August’s 0.5%. Finally, annual HICP inflation averaged a record-low 0.4% in September, which was slightly down from the 0.5% recorded in August.
Author: Dirina Mançellari, Senior Economist