10 January 2013

2013- n° 6

The Consumer Prices Index increased by 0.3% in December 2012; it rose by 1.3% year-on-year Consumer price index - final results - December 2012

Here are published monthly and year-on-year changes of the Consumer Prices Index (CPI) in December 2012. Annual average changes of the CPI will be published on 17^th January. Annual averages and year-on-year changes are different: annual averages refer to the whole set of prices observed during one year compared to those observed during the previous year. The year-on-year price changes refer to the prices observed during a particular month compared to those observed during the same month previous year.

In December 2012, the Consumer Price index (CPI) grew by 0.3%, after a decline by 0.2% in November. Year-on-year, the CPI rose by 1.3% (+1.4% in November). Excluding tobacco, the CPI went up also by 0.3% in December (+1.2% compared to December 2011). Seasonally adjusted, rise of the CPI reached 0.1% in December (+1.3 % year-on-year). The largest upward pressures on the change in the CPI of December came mainly from seasonally price hikes in services and manufactured products.

Prices in certain service prices jumped in December 2012, owing to holidays at the year ending. The main components with the highest monthly rates in December were air fares (+12.5%), package travel prices (+17.0%; +1.3% year-on-year) and holiday villages and holiday centers prices (+8.4%). As usual in December, refuse collection fees increased (+2.8%; +3.3% in December 2011). Besides, this year, communication prices recovered a little in December (+1.8%; —13.3% year-on-year) due to more favorable new mobile rates. Service charges for insurance grew also significantly after promotion endings (+2.0%; +3.3% year-on-year). Overall, service prices rose by 0.7% in December 2012 (+1.3% year-on-year; +0.5% in December 2011).

In December 2012, prices of manufactured products went up by 0.2% (+0.2% year-on-year). Clothing and footwear prices were up for seasonal reasons in December (+0.7%, like in December 2011; +1.2% year-on-year). The same went for Household textiles (+4.7% in December 2012; +3.6% in December 2011) and for Furniture and furnishings, carpets and other floor coverings (+0.4%; +0.5% year-on-year). On the opposite, downward pressures came from the pursuit of price declines in medical products (—0.3%; —3.1% year-on-year), in information processing equipment (—1.0%; —6.6% year-on-year), in Equipment for the reception, recording and reproduction of sound and pictures (—0.9%; —10.1% year-on-year), in photographic and cinematographic equipment (—2.2%; —13.7% year-on-year) and in Telephone and telefax equipment (—0.9%; —8.2% year-on-year). Besides, prices of new car increased in December (+1.0%; +2.0% year-on year) after promotion endings.

Food prices were steady in December 2012 (+2.3% year-on-year). Prices of fresh food products decreased again slightly in December (—0.1% after —1.1% In November). Year-on year, they increased by 7.7% in December. Fruit prices went down for seasonal reasons in December (—1.4%; +8.2% year-on-year) while fresh vegetable prices went up (+0.5%; +11.2% year-on-year). Despite large hikes in raw food prices from the beginning of 2012, other food prices (excluding fresh products) remained globally steady in December (+1.5% year-on-year). Hikes, in particular in meat prices (+0.4%; +3.1% year-on-year) Raisings in meat prices were offset in December by downturns in alcoholic beverage prices (—0.4%; +3.4% year-on-year), in non-alcoholic beverage prices (—0.2%; +1.2% year-on-year) and in bread and cereal prices (—0.1%; +1.0% year-on-year).

In December 2012, energy prices decreased again (—0.2%; +2.6% year-on-year) as a consequence of a new drop in petroleum product prices (—0.3%; +1.0% year-on-year). This new decline is more marked for heat fuel prices (—1.1%; +3.1% over one year) than for fuels for transport (—0.2%; +0.4% year-on-year). Gas and electricity prices were stable in December but they grew respectively by 8.2% and 3.2% year-on-year.

Core inflation indicator (ISJ) rose by 0.2% in December 2012 (+0.7% year-on-year, unchanged from November 2012). The harmonized Index of Consumer Prices (HICP) increased by 0.4% (+1.5% year-on-year after +1.6% in November).