Spanish Inflation Rate Turns Negative in August


Consumer prices in Spain fell 0.4 percent year-on-year in August of 2015, after rising 0.1 percent in the previous two months and pushed down by transport and electricity cost. Final figures came in line with preliminary estimates.

Transport prices dropped 5.4 percent over a year earlier (-3.5 percent in July) due to fuels and lubricants while housing and utilities’ prices decreased 1.9 percent (-0.1 percent in July) due to lower electricity and heating oil cost. In contrast, prices of food and non-alcoholic beverages went up 1.9 percent (1.4 percent in July) mainly due to legumes, fresh vegetables and olive oil.

On a monthly basis, prices fell 0.3 percent, following a 0.9 percent decrease in July. Again, prices of transport (-2.3 percent) and housing and utilities (-1.3 percent) together with clothing and footwear (-1.3 percent) were the main contributors to the fall.

The harmonized index decreased 0.4 percent from July and fell 0.5 percent from August of 2014, matching preliminary estimates. 

Spanish Inflation Rate Turns Negative in August


INE | Joana Taborda | joana.taborda@tradingeconomics.com
9/11/2015 8:37:08 AM