“Net deceleration” of inflation in June: this is how Istat defines the trend in prices last month, stable compared to the previous month and increased by 6.4% compared to June 2022, against a growth of 7. 6%, again on an annual basis, recorded in May 2023 compared to May 2022.
The note from Istat speaks of “a framework of price stability on an economic level (the last zero change on a monthly basis was recorded in May 2021)”. The slowdown in inflation, as explained by the statistical institute, continues to be strongly influenced by the dynamics of the prices of energy goods, in particular of the unregulated component, which dropped significantly compared to May.
In the food sector, the further slowdown in the annual growth rate of the prices of processed products contributes to the deceleration of core inflation (which fell to +5.6%).
Furthermore, the slowdown in the growth trend in the prices of the so-called “shopping cart” (food, personal and home care products) continues, which was 10.5% in June.
Merchandise sectors
Let’s look at the price trend in detail: growth slows on a trend basis in unregulated energy goods (from +20.3% to +8.4%) and, to a lesser extent, in processed food (from +13.2% to +11.5%), transport services (from +5.6% to +4.7%). More marked decline for regulated Energy (from -28.5% to -29.0%).
On the other hand, the dynamics of the general index were supported by the increases in the prices of unprocessed food (from +8.8% to +9.4%).
“Core inflation”, i.e. inflation excluding energy and fresh food, slowed further (from +6.0% to +5.6%), as did that excluding energy only (from +6.0% to +5.6%). 2% recorded in May at +5.8%).
The growth on an annual basis of the prices of goods slows down (from +9.3% to +7.5%) and, to a lesser extent, that of services (from +4.6% to +4.5%), leading the inflationary differential between the services and goods sectors at -3.0 percentage points, from -4.7 in May.
The prices of food, home and personal care products slow down in trend terms (from +11.2% to +10.5%), as do those of frequently purchased products (from +7.1 % to +5.7%).
The inflation acquired for 2023 is equal to +5.6% for the general index and +4.9% for the core component.