Spain Inflation Rate Confirmed at 3-Year Low

The annual inflation rate in Spain was steady at 0.1 percent in October of 2019, the same as in the previous month and in line with preliminary figures. It remained the lowest rate since August of 2016.
INE | Joana Taborda | joana.taborda@tradingeconomics.com 11/14/2019 8:43:45 AM
The biggest downward pressure on the CPI came from prices of transport (-0.8 percent compared to a flat reading in September), namely fuels and lubricants and air transport of passengers; and recreation and culture (-0.2 percent compared to 0.1 percent), namely tourist packages. On the other hand, the highest upward pressure came from cost of housing (-3.9 percent compared to -4.8 percent), due to a rise in electricity cost; and food and non-alcoholic beverages (1.2 percent compared to 0.9 percent), mainly fruits.

Annual core inflation, which excludes volatile items such as unprocessed food and energy, remained at 1 percent, the same as in September and the highest level in a year.

On a monthly basis, consumer prices jumped 1 percent after a flat reading in September. It is the highest monthly rate in six months, mainly boosted by cost of clothing and footwear (11.2 percent) as the new winter season started; food and non-alcoholic beverages (1.5 percent); and housing (1.1 percent).

The EU-harmonised index increased 0.2 percent over a year earlier, the same as in September, and rose 0.7 percent from the previous month (vs 0.4 percent in September).

Spain Inflation Rate Confirmed at 3-Year Low