SEIDO High Frequency CPI: Inflation was 1.3% WoW

Weekly inflation accelerated. Consumer prices grew 1.3% WoW, significantly higher than the previous 0.8% WoW (revised). The monthly printing was 6.1% MoM, up from the previous 5.8% MoM (revised), and the interannual rate was 69.4% YoY (vs 69.6% YoY -revised-). Word of warning: data printings corresponds to the average of observations from Wednesday 29th to Tuesday 5th. We have already identified an aceleration of prices during Monday and Tuesday that put a floor of 2.0% on the inflation for this week.

Core inflation and seasonal items cooled down, regulated prices heated up. Weekly core inflation was 0.04% WoW, considerably lower than the previous 0.6% WoW, and its monthly variation was of 4.8% MoM (vs 5.1% MoM -revised-). In addition, prices of seasonal items grew 1% WoW, lower than the previous 1.8% WoW (revised), and the monthly rate was 10.7% MoM (vs 8.9% MoM -revised-). Lastly, regulated prices rose 7.1% WoW, while their monthly printing was of 5.6% MoM (from previous 6.4% MoM -revised-).

Prices of dollarized items cooled down while non-dollarized items remained hot. The weekly printing for dollarized items inflation was -0.2% WoW, below the previous 0.3% WoW, and its monthly printing was 4.7% MoM (vs previous 5.5% MoM). Conversely, non-dollarized items inflation was 1% WoW, slightly below the previous 1.1% WoW (revised), and therefore the monthly figure rose to 4.4% MoM (vs 4.2% MoM).

Food and Beverages prices remained stable. Our monitoring of Food & Beverages shows a weekly variation of 0% WoW, substantially lower than the previous 1.1% WoW. In addition, the monthly figure was of 4.9% MoM (below the previous 5.3% MoM).

The distribution of price changes keeps changing. The fraction of our monitored prices increasing 4% or more per month was of 53% (vs previous 54%). Moreover, a further 20% of prices are growing between 2% and 4% (higher than the previous 16%). Lastly, 27% of our monitored prices are rising less than 2% (below the previous 30%).