Inflation: Accuracy without end – At 3% in Greece in September – 2024-10-01 21:46:56

Inflation in Greece was 3% in September (from 3.2% in August) according to Eurostat’s preliminary data. At the same time, the consumer price index in the eurozone increased by 1.8% in the same month (from 2.2% in August), i.e. below the 2% limit set by the ECB.

It seems that in Greece there is precision without end, as the rise on a monthly level reached 1.7%, followed by Portugal and Italy with 1.2%.

In terms of headline inflation in the euro area, services are expected to have the highest annual rate in September (4.0%, up from 4.1% in August), followed by food, alcohol and tobacco (2 .4%, vs. 2.3% in August), non-energy industrial goods (0.4%, flat vs. August) and energy (-6.0%, vs. -3.0% in August) .

The structural index, which excludes volatile energy and unprocessed food prices, stood at 2.7% in the eurozone in September, up from 2.8% in August.

Inflation: Unexpected retreat in Germany

The harmonized Consumer Price Index (CPI) fell to 1.8% in September, lower than expected, according to the preliminary data of the country’s statistical service Destatis.

Economists polled by Reuters had expected 1.9%. In August, the harmonized CPI had fallen significantly to 2%.

On a month-on-month basis, the preliminary harmonized CPI fell 0.1 percent versus a Reuters forecast that it would remain unchanged.

The last time inflation in Germany was below 2%, the European Central Bank’s target, was in February 2021.

Core inflation, which strips out food and energy costs, came in at 2.7% in September, down slightly from 2.8% in August. Services inflation meanwhile eased to 3.8% after holding steady at 3.9% for several months.

The statistics office data also showed that energy costs fell by 7.6% in September.

Fall in France and Spain

Inflation in France and Spain “fell” below the 2% limit set as a goal by the ECB, reinforcing the scenario that wants the European Central Bank to accelerate the rate of interest rate cuts.

Data released showed that consumer prices in France rose by 1.5% year-on-year in September, largely due to lower energy costs. Correspondingly, in Spain inflation “dropped” to 1.7%. It is worth noting that analysts were expecting readings of the order of 1.9% for both countries.

French data for September also showed a slowdown in service prices, where inflation eased to 2.5% from 3%.

Below 1% in Italy

Inflation in Italy dipped below 1% in a development that is intensifying pressure on the European Central Bank to accelerate rate cuts.

The consumer price index rose just 0.8 percent in September from a year earlier, compared with 1.2 percent in August, Italy’s statistics agency said Monday. The decline was mainly due to energy, transportation and communications costs and was in line with analysts’ forecasts in a Bloomberg survey.

SOURCE: ot.gr