Italy September inflation Rate Edges Down to 1.5%


The annual inflation rate in Italy is expected to decrease to 1.5 percent in September of 2018 from 1.6 percent in the previous month, below market consensus of 1.7 percent. Inflation should slow down amid softer rises in prices of unprocessed food, services related to transport and non-regulated energy products.

Year-on-year, prices are set to rise at a slower pace mainly for: food & non-alcoholic beverages (1.9 percent vs 2.2 percent in August), namely unprocessed food (2.4 percent vs 3.1 percent); transport (4.1 percent vs 4.2 percent), including services related to transport (2.5 percent vs 2.8 percent); housing & utilities (2.7 percent vs 2.8 percent), amid slowing prices of non-regulated energy products (9.3 percent vs 9.5 percent); and miscellaneous goods & services (2.5 percent vs 2.6 percent). Meantime, inflation would remain steady for restaurants & hotels (1.1 percent) and furniture & household equipment (0.3 percent). In contrast, cost is expected to advance further for health (0.2 percent vs 0.1 percent); recreation & culture (0.4 percent vs 0.3 percent); clothing & footwear (0.2 percent vs 0.1 percent) and alcoholic beverages & tobacco (3.6 percent vs 3.4 percent).

Annual core inflation rate, which excludes energy and unprocessed food, should remain steady at 0.8 percent. Excluding only energy, the inflation is expected to ease to 1.0 percent from 1.1 percent in August.

On a monthly basis, consumer prices are set to drop 0.4 percent, following a 0.4 percent increase in August and against market forecast of a 0.2 percent rise.

The harmonized index of consumer prices is expected to rise by 1.6 percent from the previous year (the same pace as in August); and to advance by 1.8 percent month-over-month (vs -0.2 percent in August).

Italy September inflation Rate Edges Down to 1.5%


Istat | Luisa Carvalho | luisa.carvalho@tradingeconomics.com
9/28/2018 9:36:28 AM