The Central Statistical Office (GUS) published yesterday, ie on December 15, the latest research on consumer inflation (CPI). What does the new data show? Inflation is rising. Prices of consumer goods and services increased in November 2020 compared to October 2020 by 0.1%. However, things are much worse on an annual basis.
Inflation is rising more and more
The fact “0.1” doesn’t sound scary, but when we look at the data more broadly, things don’t look so good anymore. Annual inflation shows that prices have already increased by as much as 3.0 percent. In other words, products and services have increased by 3% annually, of which goods are “only” more expensive by 1.3 percent, and services by as much as 7.8 percent.
A month ago, commodity prices grew 1.5 percent. and services by 7.3 percent. Even earlier, two months ago, it was 1.7%, respectively. and 7.2 percent
Inflation is mainly driven by rising prices of telecommunications services and services provided by the hotel and restaurant industries. According to economists from PKO BP, core inflation fell to 4.3% in November. year on year from 4.2 percent recorded a month earlier.
CPI inflation for Nov. confirmed at 3.0% y / y (3.1 y / y in October). The dynamics of service prices accelerated to a record 7.8% y / y (data from 2016), https://t.co/fzYWQtpNMV. through telecommunications services and hotels / restaurants. We estimate the core inflation at 4.3% YoY (4.2% in Oct.) pic.twitter.com/ErhZJeoLNv
– PKO Research (@PKO_Research) December 15, 2020
What is the most expensive?
It is also worth taking a look at which products included in the CSO basket, which are used to calculate inflation, are the most expensive:
- rice went up by 6.8 percent.
- bread by 7 percent
- cold cuts by 5.1 percent.
- milk by 6.4 percent.
- fruit by 6.2 percent.
- garbage collection by a record 53.5 percent
- electricity by 11.7 percent
- medical services by 8.9 percent (this is certainly the result of the need to disinfect the room where treatments are performed after each patient),
- dental services by 13.3 percent
- hairdressing and beauty services by 13 percent
- financial services by 43.9 percent
There were also price drops:
- pork by 3.3 percent.
- poultry meat by as much as 6.5 percent.
- vegetables by 2 percent
- clothing and footwear by 3.4 percent
- fuels by as much as 9.2 percent