Italy Nov EU-harmonised CPI edges down to 12.5% y/y, but above forecasts

ROME (Reuters) – Italian EU-harmonised consumer prices (HICP) rose a preliminary 0.6% month-on-month in November, with annual inflation slowing marginally to 12.5% from 12.6% in October but exceeding expectations, data showed on Wednesday.

The median forecast in a Reuters survey of 14 analysts had pointed to a 12.0% year-on-year rise.

Official statistics agency ISTAT also reported that the main domestic price index (NIC), was up 0.5% on the month, posting an 11.8% annual figure which was the same as October’s rate.

Core inflation (net of fresh food and energy) was running at 6.2% year-on-year on the HICP index in November, up from 5.7% in October.

ISTAT gave the following preliminary breakdown:

EU-harmonised index (HICP):

Nov Oct Sept

Monthly change 0.6 3.8 1.6

Yr/yr inflation 12.5 12.6 9.4

Index (base 2015=100) 120.7 120.0 115.6

The NIC index:

Monthly change 0.5 3.4 0.3

Yr-on-yr inflation 11.8 11.8 8.9

Index (base 2015=100) 118.7 118.1 114.2

r=revised

ISTAT gave the following sector-by-sector breakdown for the HICP in November:

Sector m/m yr/yr

Food 1.0 13.8

Alcoholic drinks, tobacco 0.4 2.6

Clothing 0.0 2.9

Housing, electricity, fuel 2.1 56.3

Domestic goods 0.8 7.6

Health spending 0.2 1.3

Transport 0.1 6.8

Communications -0.4 -1.5

Recreation 0.3 3.0

Education 0.0 0.9

Hotels, restaurants -0.7 7.9

Other goods, services 0.4 3.3

(Reporting By Gavin Jones)