During the month of October, the Goods registered an increase of 2.2%below Services that increased 3.9%, in the report on the Consumer Price Index of the City of Buenos Aires (IPCBA) prepared by the Institute of Statistics and City Censuses (IDECBA).
“The monthly dynamics of Goods It fundamentally responded to increases in food prices (mainly dairy products, meats, baked goods and soft drinks). To a lesser extent, increases in the prices of clothing, books, personal care items and medicines stood out. Meanwhile, the behavior of the Services,” they indicated.
Buenos Aires inflation: what rose the most and what the data on the National CPI indicates
Likewise, regarding the items that had the most impact on the final datathey pointed out: “During October, the variation of the IPCBA responded, especially to the increases in Housing, water, electricity, gas and other fuels, and Restaurants and hotels, Health and Food and non-alcoholic beverages, which together explained 62.7% of the increase in the General Level”.
In October, the prices of insurance and financial services increased by 7% in the city and led the increases, followed by clothing (clothing and footwear), which registered a rise of 5%, Health rose by 4.5% % and Housing, water, gas and electricity, 4.3%.
The city data suggests that, At the national level, inflation (which will be known on Tuesday, November 12) would be a few points below, as indicated by the historical relationship between both indicators. Thus, the national figure could be between 2.8% and 2.9%. Let us remember that in September inflation in the City of Buenos Aires was 4% and that measured by the National Institute of Statistics and Censuses (INDEC), 3.5%.
Services, restaurants and hotels and food: how each item affected
Housing, water, electricity, gas and other fuels increased 4.3%contributed 0.81 percentage points (pp) to the monthly variation, mainly impacting the increases in the values of common expenses for housing and rents. To a lesser extent, updates were highlighted in the residential rate for water supply service and in the prices of services for home repair.
Restaurants and hotels averaged an increase of 4.7% and had an impact of 0.50 pp due to increases in the prices of food prepared in restaurants, bars and eateries. Health rose 4.5%, with an incidence of 0.40 pp, due to increases in prepaid medicine fees.
Food and non-alcoholic beverages averaged an increase of 1.7% and had an impact of 0.32 pp on the General Level. Within the division, the main impulses came from Milk, dairy products and eggs (2.8%), Meats and derivatives (2.1%), Bread and cereals (1.7%) and Soft drinks (5.3% ). In the opposite direction, the falls in Vegetables, tubers and legumes (-3.8%) contributed to removing pressure on this division.
IPC Caba: the rise of the core and the regulated
If the data are disaggregated by subindexes, during the month of October the grouping Rest IPCBA – proxy for core inflation – averaged an increase of 3.6%.
The grouping Regulated increased 3.1% and the increases in the fees for prepaid medicine and educational establishments (initial, primary and secondary level) were highlighted, along with the updates in the rates for the residential water supply service and subway travel. Next in importance were the increases in residential rates for electricity and gas service through the network.
Seasonal prices
Lastly, the Seasonal goods and services averaged an increase of 0.6%as a result of increases in clothing prices and hotel accommodation rates. And, in the opposite direction, the falls in the values of air tickets and vegetables contributed to slowing the rise of this group.
Source: Ambito
