Italy: Final data confirms inflation reached lowest level in nearly four years
October 11, 2013
According to final data for September, consumer prices fell 0.3% over the previous month. The reading was in line with the 0.3% preliminary estimate released on 30 September and contrasted the 0.4% increase recorded in August. Lower prices for transport were the main driver of September's drop. Meanwhile, annual inflation fell from 1.2% in August to 0.9% in September, marking the lowest level since November 2009.
The core inflation index, which excludes more volatile categories such as unprocessed food and energy, fell 0.4% over the previous month in September (August: +0.4% month-on-month). Annual core inflation inched up from 1.1% in August to 1.2% in September. Finally, annual HICP inflation averaged 1.8% in September, which was down from the 2.0% recorded in August.
FocusEconomics Consensus Forecast panelists expect inflation to average 1.4% in 2013, which is down 0.1 percentage points from the previous month's projection. For 2014, panelists also expect inflation to average 1.5%, which is unchanged from last month's projection as well.
Author: Armando Ciccarelli, Head of Data Solutions