Luxembourg: Inflation rises further in June
Consumer prices rose 0.76% month on month in June, up from May’s 0.13% increase. The print reflected stronger price growth for food and non-alcoholic beverages, recreation and culture, housing, water, electricity, gas and other fuels. Moreover, transport prices jumped.
Inflation, meanwhile, rose to 7.4% in June (May: 6.8%). This marked the highest print since at least January 1996. Annual average inflation rose to 4.8% in June, from May’s 4.3%. Finally, harmonized consumer price inflation rose to a series-high 10.3% in June (May: 9.1%).
Analysts at the EIU added:
“Ongoing supply-chain issues and high energy prices in Europe contributed to price growth. We expect inflation to accelerate in 2022, to 8.2%, as supply-side pressures intensify owing to materials shortages and the rising cost of fuel.”