The Consumer Price Index (CPI) remained at 2.7% year -on -year in August, according to the final data published by the National Statistics Institute (INE), thus confirming the advanced data advanced by the body itself. A record similar to the month of July. The underlying inflation (which excludes energy and unprocessed foods) advanced one tenth, up to 2.4%, and is three tenths below the general rate. In monthly terms, the CPI did not experience variation with respect to July, after the 0.1% decrease in the preceding month.
You may be interested
Inflation erases 1 euro products: prices have changed in 20 years
The CPI remains at 2.7 % in August, driven by the price of fuels
The stability of the August data is explained by the balance between two forces: the rise of fuels and relaxation in electricity and food prices. This last group modeled its rhythm of increase at 2.3% year -on -year, four tenths less than in July, with the fruit among the subcomponents that threw down. The evolution of the electrical invoice, without great shocks in the month, contributed to cushion the thrust of fuels.
Objective: 2% of the ECB
The Ministry of Economy interprets that the trajectory confirms the gradual convergence towards rates compatible with the objective of 2% of the European Central Bank. In the comparative harmonized with the EU, the IPCA also remained at 2.7% year -on -year and registered a monthly variation of 0.0%. To constant taxes, inflation was 2.2%, five tenths below the general.
Beyond the national aggregate, the data point to territorial differences: the autonomous rates range in a range that moves around just over 2% and something above 3%, in line with the different composition of the expense and the weight of energy or food in each region. INE will spread the complete detail by communities in its usual tables.
In parallel, the INE reference index for the update of rentals stood in August at 2.19%. This indicator (used as a guide by the market after the extraordinary stops applied in the last exercises) reinforces a scenario of contained income reviews, consistent with the gradual deflation and the cooling of the component of essential goods.
Electricity: a risk factor
August’s photography leaves several keys for the coming months. First, the moderation of food confirms that the bulk of the pressure for costs in the agri -food chain is dissipated, although specific tensions persist due to weather and international prices. Second, energy remains the main risk factor: a recruitment of oil or greater electrical volatility could interrupt the stabilization path. And third, with an underlying in 2.4%, the loss of inflationist impulse continues, but still requires prudence in the income policy to avoid second round effects.
They remain to be known, with greater disaggregation, the subscripts of fuels and electricity of the month to specify the exact contribution of each component, as well as the evolution by items within the feed basket (oils, dairy or meat), which in previous months have shown disparate behaviors.