Spain: Inflation accelerates in February
March 11, 2011
In February, consumer prices added 0.1% over the previous month, contrasting the 0.7% drop recorded in January. Annual inflation rose from 3.3% in January to 3.6%, which was in line with the preliminary estimate released by the Statistical Institute on 28 February, and represented the highest level since October 2008. The monthly reading was the result of higher transport and housing prices, driven by escalating fuel prices, which were offset by lower prices for food and alcoholic beverages as well as clothing and footwear. The core inflation index, which does not include prices for unprocessed food and energy, rose 0.1% over the previous month, which contrasted the 1.5% drop in January. Annual core inflation inched up from 1.6% in January to 1.8% in February. According to a preliminary estimate released by INE on 30 March, annual inflation remained unchanged at February's 3.6%, the highest level since October 2008.