Consumer Prices in Italy Fall 0.1% YoY in August


Italy deflation held steady at 0.1 percent in August, the same as in the previous month and in line with preliminary estimates. It is the seventh consecutive month of falling consumer prices, due to lower cost for transport, housing and utilities, final figures showed.

Year-on-year, transport prices went down 2.3 percent (-2.2 percent in July) and cost of housing and utilities dropped 2 percent, the same as in July. 

Inflation accelerated for food and non-alcoholic beverages (0.9 percent from 0.6 percent in July); furnishing and household equipment (0.4 percent from 0.3 percent); recreation and culture (0.8 percent from 0.5 percent) and restaurants and hotels (0.9 percent from 0.8 percent). In contrast, it slowed for alcoholic beverages and tobacco (2 percent from 2.1 percent) and held steady for clothing and footwear (0.4 percent); health (0.3 percent); education (1.2 percent) and miscellaneous goods and services (0.4 percent). 

Excluding energy and unprocessed food, core inflation was 0.4 percent, down from 0.6 percent in July. Excluding energy, the inflation was steady at 0.6 percent. 

On a monthly basis, consumer prices rose 0.2 percent, the same as in July and matching preliminary figures. The increase was mainly due to higher prices of services related to transport (+2.2 percent), unprocessed food (+0.9 percent) and services related to recreation, including repair and personal care (+0.4 percent).

The harmonized index fell 0.1 percent both on the year and on the month. 

Consumer Prices in Italy Fall 0.1% YoY in August


Istat | Joana Taborda | joana.taborda@tradingeconomics.com
9/14/2016 9:05:36 AM