Russia Inflation Rises Above Forecasts to 18-Month High

Russia’s consumer price inflation increased to 4.3 percent year-on-year in December 2018 from 3.8 percent in the previous month, slightly above market expectations of 4.2 percent. It was the highest inflation rate since June 2017 on the back of rising prices of food and services while non-food inflation eased.

Within the goods component, food cost advanced 4.7 percent in December, following a 3.5 percent rise in November and prices of non-food products rose 4.1 percent, after a 4.2 percent gain in the previous month. Also, services inflation picked up to 3.9 percent in December from 3.8 percent in November.

Annual core inflation rate climbed to 3.7 percent in December from 3.4 percent in the previous month. It was the highest rate since May 2017.

On a monthly basis, consumer prices increased 0.8 percent in December, compared with a 0.5 percent gain in November and also beating market consensus of 0.7 percent. Upward pressure came from all main categories: food (1.7 percent vs 1 percent): services (0.4 percent vs unchanged); and non-food products (0.2 percent vs 0.4 percent).

Russia Inflation Rises Above Forecasts to 18-Month High

Federal State Statistics Service | Joana Ferreira |
1/10/2019 1:23:19 PM