Italy: Consumer prices record largest annual drop since January 2015
April 29, 2016
According to final data released by the Italian Statistical Institute (ISTAT), consumer prices in April fell 0.1% over the previous month (preliminary estimate: 0.0% month-on-month), which contrasted March’s 0.2% increase. The result undershot market expectations of a 0.2% increase. The figure was due mainly to a decline in the prices of regulated energy products, which was partially offset by an increase in the prices of non-regulated energy products and of services related to recreation and transport. Consumer prices dropped 0.5% in April on an annual basis (preliminary estimate: -0.4% year-on-year), which was down from March’s 0.2% fall and marked the lowest reading in 15 months.
Core consumer prices, which exclude more volatile categories such as unprocessed food and energy, increased 0.2% in April on a monthly basis, which was above March’s 0.1% increase. Core inflation was 0.5% in April (March: 0.6%). Finally, harmonized consumer prices fell 0.4% over the same month last year (preliminary estimate: -0.3% yoy), which was down from March’s 0.2% decline and marked the lowest reading in 15 months.