Italy: Inflation steady in September
September 28, 2012
According to a preliminary estimate released by Istat on 28 September, consumer prices were flat over the previous month in September, which was below the 0.4% increase recorded in August. Lower prices for transport as well as for recreation and culture offset higher readings for food and non-alcoholic beverages as well as for restaurants and hotels. As a result of the monthly figure, annual inflation was steady at August's 3.2%. The core inflation index, which excludes more volatile categories such as unprocessed food and energy, fell 0.4% over the previous month, contrasting the 0.4% increase recorded in August. As a result of the monthly drop, annual core inflation fell from 2.1% in August to 1.9%. Finally, annual average HICP inflation was unchanged at August's 3.6%. The Bank of Italy sees HICP inflation averaging 3.0% this year, before dropping to 1.8% next year.
Author: Armando Ciccarelli, Head of Data Solutions