Italy: Inflation inches down in May
June 13, 2014
According to more detailed data for May, consumer prices fell 0.1% over the previous month, which contrasted the 0.2% increase recorded in the month prior. The decrease met the preliminary estimate and was driven by lower prices for transport as well as for communication. Annual inflation inched down from 0.6% in April to 0.5% in May, which slightly undershot the 0.6% the market had expected.
Core consumer prices, which exclude more volatile categories such as unprocessed food and energy, fell 0.2% over the previous month in May, which contrasted the 0.4% increase tallied in April. Annual core inflation inched down from 1.1% in April to a record low of 0.8% in May. Finally, annual HICP inflation averaged 0.8% in May, mirroring April’s figure, and thus remained at the lowest rate since March 2010.
Author: Dirina Mançellari, Senior Economist