• Core inflation remains at 1%
  • In the whole of 2019, the average annual rate of the general CPI stands at 0.7%, lower by one point than in 2018

The interannual rate of the general CPI increased four tenths in December 2019 compared to the previous month, to 0.8%.

The prices of energy products reduced their rate of fall by more than three points, to -2.1%, mainly due to the increase in the prices of fuels and lubricants, which grew 7.7%, compared to the fall of 0 , 7% of the previous month. However, electricity prices intensified the decline rate by almost five points, to -16.4%.

The prices of unprocessed food increased 2.9% year-on-year, two tenths more than in November, mainly due to the acceleration of the prices of fresh vegetables that increased 1.6%, compared to the fall of 0 , 8% of the previous month.

Core inflation, which excludes the most volatile elements of the CPI (unprocessed food and energy products), remains at 1% for the fourth consecutive month, due to the practical stability of the growth rates of its main components. The prices of processed food and non-energy industrial goods decreased one and two tenths, to 0.8% and 0.2%, respectively, and that of services increased one tenth, to 1.6%.

In December, the annual rate of the CPI increased with respect to that of November in all the autonomous communities. The largest increases occurred in the Balearic Islands and Castilla-La Mancha, of six tenths, up to 1% and 0.9%, respectively.

The interannual rate of the CPI at constant taxes stood at 0.7% in December, one tenth below that of the general CPI.

The INE has also published the harmonized CPI (CPI) corresponding to the month of December, whose annual rate has increased three tenths, reaching 0.8%. The advanced inflation by Eurostat for the whole of the euro zone stands at 1.3% in the same period, resulting in a favorable differential for Spain of 0.5 percentage points for the third consecutive month.

In the whole of 2019, the average annual rate of the general CPI stands at 0.7%, lower by one point than in 2018, mainly due to energy prices, which decreased 1.2%, after increasing 6.1% in 2018. They also contributed to reducing inflation in 2019, although to a lesser extent, the prices of food and services, which slowed seven and one tenths, respectively, to 1% and 1.4% . On the other hand, the BINE grew 0.3%, after the stabilization of 2018.

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