Peru: Inflation falls to 21-month low in June
July 2, 2020
Consumer prices in Metropolitan Lima fell 0.27% from the previous month in June, contrasting May's 0.20% rise and marking the first monthly fall in prices in 12 months. June’s decline was principally driven by falling food and drink costs, while transport costs continued to fall on lower fuel prices.
Inflation fell to 1.6% in June from 1.8% in May, thus remaining below the midpoint of the Central Bank’s 1.0–3.0% target band for the 10th month running. Meanwhile, the trend levelled off this month, with annual average inflation coming in at 1.9% in June, unchanged from the month prior. Core inflation, however, rose to 1.9% from May’s 1.7%.
Author: Stephen Vogado, Economist