Forex - Russia: July CPI inflation nudges down to 4.6% y/y, a tad below forecasts


 13:13 (GMT) 06 Aug

  [Economic Data]

Sample Premium Content
Russia: July CPI inflation nudges down to 4.6% y/y, a tad below forecasts (0101-NHGF-C01)

Headline CPI inflation decelerated for the fourth successive month in July, to 4.6% y/y from 4.7% y/y in June, a tad below our call as well as the consensus forecast of 4.7% y/y with consumer prices rising by 0.2% m/m in July, also slightly less than our call as well as the consensus forecast of a 0.3% m/m increase. Meanwhile, core inflation was 4.5% y/y in July, nudging down from 4.6% y/y in June and undershooting the consensus forecast of 4.6% y/y.

The breakdown revealed that the deceleration was driven by the services category, where inflation was 4.5% y/y after 4.9% y/y in June with housing/utility services prices up 4.7% y/y after 5.8% y/y in June. We expect inflation to decelerate further in the next few months because of the ruble's recovery, subdued domestic demand and the waning impact of the VAT rate rise, with inflation seen returning to the CBR's 4.0% target by end-2019 and staying close to target in 2020.


CurrenciesCountriesMarket Bulletins

Latest Currency Analysis

Available to subscribers only
Order Now