Peru: Inflation increases in July to 17-month high
August 2, 2015
Consumer prices for Metropolitan Lima in July increased 0.45% over the previous month, which followed the 0.33% rise registered in June. The result slightly overshot market expectations of a 0.40% increase. The result was broad-based, as all eight components of the index gained ground in June. The largest increase was recorded in the housing, fuel and electricity category, followed by transport and communication.
Annual headline inflation inched up from 3.5% in June to 3.6% in July, which marked the highest result since February of last year. Consequently, inflation pushed further above the upper limit of the Central Bank’s target of 2.0%, plus/minus 1.0 percentage point.
Author: Carl Kelly, Economist