Peru: Inflation stabilizes in November
December 1, 2013
Consumer prices for Metropolitan Lima decreased 0.22% over the previous month in November, contrasting the meager 0.04% rise registered in October. The print exceeded the 0.08% decrease the market had expected and marked the largest drop since June 2009. The decline reflects a strong drop in prices for food, which more than offset the increases registered in all other categories.
Annual headline inflation stabilized at October's 3.0% in November. As a result, inflation now sits at the upper limit of the Central Bank's target of 2.0% plus/minus 1.0 percentage point.
The Central Bank's September quarterly inflation report indicated that it expects inflation to end both this year and next within a range of 1.5% to 2.5%. LatinFocus Consensus Forecast panelists expect inflation to end 2013 at 3.0%, which is unchanged from last month's projection. For 2014, the panel expects inflation to ease to 2.5%, which is also unchanged from last month's estimate.