Italy: Inflation eases to lowest rate in five years
August 12, 2014
According to more detailed data for July, consumer prices fell 0.1% over the previous month, which contrasted the 0.1% increase recorded in June. The mild decrease met the preliminary estimate and was driven by lower prices for regulated energy products. Annual inflation fell from 0.3% in June to 0.1% in July, which marked the lowest rate since July 2009.
Core consumer prices, which exclude more volatile categories such as unprocessed food and energy, rose 0.1% in July over the previous month. This mirrored the increase recorded in June. Annual core inflation inched down from 0.7% in June to a record-low of 0.6% in July. Finally, annual HICP inflation averaged a record-low 0.6% in July, which was slightly down from the 0.7% recorded in June.
Author: Dirina Mançellari, Senior Economist