The Consumer Price Index (CPI) stood at 2.7% year -on -year in July, as the data published on Wednesday by the National Statistics Institute (INE) marks. Up to four tenths above the data recorded last June, especially motivated by the increase in fuels, electricity and transport.
The data confirms the price upload forecast that came out in Data advanced for the month of Julywhere an increase of 2.7% in its interannual rate was foreseen due to increases in electricity, fuels or transport.
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The IPC rises to 2.7% in July for the increase in electricity and fuels
The IPC rises to 2.3% in June and chains two months of fuel and food increases
As soon as the annual rate of the underlying inflation, this marks a tenth rise, reaching 2.3%. In this general index, unprocessed foods and energy products are excluded.
The main causes of the increases
As point out from the INE, the main ‘guilty’ of the increases are transport, which increased 1.2 points to -0.8% due to the rise in the prices of fuels and lubricants.
The housing group has also contributed to the increase in the indicated one and that the annual rate rises four tenths to 4.2%, driven by the increase in gas and, to a lesser extent, of liquid fuels.
The reasons for the ascent
The current IPC increase is mainly motivated by the increase in housing, taking into account that its annual rate rose 2.5 points, to 6.7%, largely because electricity prices rose, compared to the descent in July of the previous year.
The transport has been the other large group that influenced this new IPC rise, with an increase in a point at its annual rate, reaching 0.2%. The rise in the prices of fuels and lubricants for personal vehicles, greater than in July 2024, added to the rise in combined passenger transport and passenger air transport, have marked this behavior.
Thus the IPC has evolved monthly
In July, the monthly variation rate of the general CPI was -0.1%.
The group of dress and footwear is the largest negative monthly impact, with a rate of -9.2% and a repercussion of -0,351, motivated by the price drops of the summer sales campaign.
In the positive part, the transport group has been the most prominent as we anticipate, with a variation of 1.3% and a repercussion of 0.179. These data reflect the increase in the prices of fuels and lubricants for personal vehicles and, to a lesser extent, of the combined passenger transport.
For their part, leisure and culture groups mark a variation of 1.7%, due to the increase in prices for tourist packages. This group had 0.142 on the general CPI.
The IPC by Autonomous Communities
All autonomous communities registered positive annual rates in July, being the Balearic Islands that presented a higher rate, with 3.5%. Ceuta (3.4%) and Valencian Community (3.2%), are the following communities that have a higher rate.
For its part, the Region of Murcia had the lowest rate, only 2.0%. After Murcia, the Canary Islands (2.2%) and La Rioja (2.3%), are the communities with a lower rate in the Spanish territory.