Italy’s Inflation Rate Down to 0.7% in October


In October, Italian consumer price index rose by 0.7 percent on annual basis, down from 0.9 percent in September, and 2.6 percent a year ago. The slowdown was mainly due to lower food prices and housing cost and a drop in prices of communication.

Concerning Food and non-alcoholic beverages, the annual inflation was recorded at 1.4 percent, down from 1.9 percent in September. The deceleration was due to the sharp drop in cost of fresh vegetables (-1.5 percent on monthly basis; -6.8 percent on annual basis).

Cost of Housing, water, electricity, gas and other fuels eased to 0.3 percent from 1.1 percent in the previous month, mainly due to decreases in the administered prices of Gas (-1.1 percent compared with September 2013; -3.6 percent on annual basis) and of Electricity (-0.6 percent on monthly basis; -0.7 percent with respect to October 2012).

The annual inflation of Transport stood at 0.4 percent, down from 0.6 percent in September, as prices of Fuels and lubricants and Passenger transport by air declined.

With regard to Communication, the annual inflation fell to -8.6 percent, due to the large decrease of prices of mobile telephone services (-8.1 percent on monthly basis; -16.3 percent on annual basis).

From September to October, the inflation rate dropped 0.3 percent, the same rate recorded in the previous month. 

Italy’s Inflation Rate Down to 0.7% in October


Istat | Krisztina Györffy | krisztina@tradingeconomics.com
10/31/2013 11:23:24 AM