Consumer price indices - inflation - June 2019

Year-on-year growth of consumer prices slowed down moderately

11.07.2019
Code: 012024-19
 

Consumer prices in June increased by 0.2% compared with May. This development came primarily from higher prices in ‘recreation and culture’. The year-on-year growth of consumer prices decelerated to 2.7% in June, which was 0.2 percentage points down on May.

The month-on-month rise in consumer prices in ‘recreation and culture’ came primarily from price increase in seasonal prices of package holidays by 6.7%. In 'housing, water, electricity, gas and other fuels' prices of actual rentals for housing went up by 0.7% and prices of electricity by 0.4%. In ‘food and non-alcoholic beverages’, primarily prices of non-alcoholic beverages were higher by 1.6%, prices of pork meat by 1.8% and yoghurts by 4.6%. Prices of potatoes went up by 3.3% (partly due to market offer, which switched from old to new potatoes) and reached its highest value (CZK 27.00 per kg). The rise in prices in ‘restaurants and hotels’ was caused by the rise in catering services by 0.5%, in particular.

The decrease in overall consumer price level in June came from prices in ‘alcoholic beverages, tobacco’, where prices of beer were lower by 3.6% and wine by 1.5%. In ‘clothing and footwear’, prices of garments went down by 0.7% and prices of shoes and other footwear by 0.3%. In food, especially prices of vegetables decreased by 4.1%.

Prices of goods remained at the level of May in total and prices of services went up by 0.6%.

In terms of the year-on-year comparison, in June, the consumer prices rose by 2.7%, i.e. 0.2 percentage points down on May. In ‘alcoholic beverages and tobacco’, the year-on-year price growth was moderated due to prices of wine, which decreased by 1.9% in June (a growth by 0.8% in May) and prices of beer, which were higher by 5.4% (7.2% in May). In 'housing, water, electricity, gas and other fuels', the price rise of electricity slowed down by 10.4% (12.5% in May), due to their month-on-month increase in June 2018. The year-on-year decrease in prices in 'transport' was due to a drop in prices of automotive fuel and oils by 0.3% (a growth by 3.1% in May). In ‘recreation and culture’, price rise of package holidays accelerated by 6.2% (3.2% in May).

The biggest influence on the growth of the y-o-y price level in June came, as before, from prices in 'housing, water, electricity, gas and other fuels', where prices of actual rentals for housing went up by 3.9%, water supply and sewage collection identically by 2.6%, natural gas by 3.6%. Next in order of influence were prices in ‘food and non-alcoholic beverages’, where prices of vegetables went up by 22.7% (of which prices of potatoes by 51.7%), meat by 3.9%, bread and cereals by 3.2%. The impact on the price level increase had also prices in 'miscellaneous goods and services', where prices of insurance rose by 3.9% and prices of financial services by 5.7%. In ‘restaurants and hotels’, prices of catering services were higher by 4.4% and prices of accommodation services by 2.6%.

A reduction in the price level in June came from prices in 'clothing and footwear' due to prices of garments, which were lower by 3.1%. In ‘communication’, prices dropped by 1.3%.

Prices of goods in total and services went up (2.3% and 3.6%, respectively). The overall consumer price index excluding imputed rentals for housing was 102.5%, year-on-year.

Inflation rate, i.e. the increase in the average consumer price index in the twelve months to June 2019 compared with the average CPI in the previous twelve months, amounted to 2.5% in June.

According to preliminary data of Eurostat, the year-on-year change in the average harmonized index of consumer prices (HICP)1) in the EU28 member states amounted to 1.6% in May, which were 0.3 percentage points up on April. The rise in prices was the highest in Romania (4.4%) and the lowest price increase was in Cyprus (0.2%). In Slovakia, the price rise accelerated to 2.7% from 2.4% in April. In Germany, prices were higher by 1.3% (2.1% in April). According to preliminary calculations, the month-on-month change in the HICP in the Czech Republic in June amounted to 0.2% and the year-on-year growth was 2.4%. The MUICP (Monetary Union Index of Consumer Prices) flash estimate for the Eurozone in June 2019 amounted to 1.2%, y-o-y, as Eurostat announced (more information on the Eurostat’s web pages: HICP.)
 

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1) Imputed rentals are excluded from the HICP.

Notes:
Responsible manager of the CZSO: Jiri Mrazek, Director of Price Statistics Department, email: jiri.mrazek@czso.cz
Contact: Pavla Sediva, Head of the Consumer Price Statistics Unit, phone (+420) 274052138, email: pavla.sediva@czso.cz
Data source: Direct field survey of prices, centrally surveyed prices and reporting
End of data collection: 20th day of the reference month / End of data processing: 3rd day of the month that follows the reference month
Related publications: 012018-19 Consumer Price Indices – Basic Breakdown (periodicity: monthly), 012023-19 Consumer price Indices – Detailed Breakdown (periodicity: monthly) and 012019-19 Consumer Price Indices – Detailed Breakdown (periodicity: annually)
Internet: https://www.czso.cz/csu/czso/inflation-consumer-prices
Next News Release: 12 August 2019
Text not edited for language

 


Related analysis: Analysis - Consumer price indices - 2. quarter of 2019

  • aisc071119.docx
  • Annexes:
  • Table 1 Consumer Price Index (indices, inflation rate)
  • Table 2 Consumer Price Index (breakdown of the growth month-on-month)
  • Table 3 Consumer Price Index (breakdown of the growth – month-on-month, year-on-year)
  • Table 4 Consumer Price Index (social groups of households – indices, inflation rate)
  • Table 5 Consumer Price Index (analytical table, specific consumer price indices)
  • Chart 1 Consumer Price Index (year-on-year changes, changes on base year)
  • Chart 2 Harmonized Index of Consumer Prices – International comparison
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Published: 11.07.2019
The data are valid as of the release date of the publication.


Contact: Information Services Unit - Headquarters, tel.: +420 274 056 789, email: infoservis@czso.cz