Peru: Inflation increases in May to 11-month high
June 1, 2015
Consumer prices for Metropolitan Lima in May increased 0.56% over the previous month, which was above the 0.39% rise registered in April. The result overshot market expectations of a 0.29% increase. The result was broad-based, as all eight components of the index gained ground in April. The largest increases were recorded in the housing and utilities category, followed by transport and communication.
Annual headline inflation increased from 3.0% in April to 3.4% in May, which marked the highest result since June of last year. Consequently, inflation pushed above the upper limit of the Central Bank’s target of 2.0%, plus/minus 1.0 percentage point.
Author: Carl Kelly, Economist