The rate of inflation accelerated strongly in December to close the year at 0.8%, thanks to the rise of fuel prices and despite the fact that the light continues to be minimal. Finally, there was the rush of year-end predicted to the agencies that analyze the economy, although the development of the electricity, which keeps the downward trend for one month, has helped to mitigate the push of the past two months.

According to the data advance on Monday by the INE, the fuels have been the most decisive for the CPI pass of 0.4% in November to 0.8% in December. It is the second month in which the annual rate of growth marks an upward trajectory. The index began the year at 1%, accelerating to 1.5% in April, but in may began a steep downhill up to 0.4% in June. In July he returned to speed up slightly (0.5%), but returned to the path, bassist in August, to mark in September and October to 0.1%, the lowest rate in three years. Has been in the last two months when the index has experienced a sharp upward trend that has left the final figure for inflation at 0.8%, half of which went to the pension in January, 1.6%.

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The year in which prices rose less than wages inflation rises to 0.4% in November for fuel and food, The fall in the price of gas and fuel maintains the inflation at its minimum in three years

In the absence of knowing the rise accurate experienced by the fuel, which the INE will publish in a couple of weeks, keep in mind that, in addition, its evolution compares with the price drop recorded in the final months of 2018, with what the base effect is accentuated.

On the opposite side, electricity has been the product of the basket which again pulls down the index. The price of the light continues to be minimal due to the weather conditions, which favour the use of energy cheaper in the mix (wind, solar, hydroelectric). Equally, it is also not known the detail of the climb of the light, but according to the data of OMIE, the wholesale operator, the iberian, the average price of megawatt / hour (MW/h) in has been of 33.8 euro, a 45.3% less than the 61,81 marked in December 2018.

In fact, it is the light that mitigates the rise in the index, and that has stopped short of forecasts of the CPI that drove, for example, Funcas. Thus, the CPI fell 0.1% in December compared to November, instead of the rise of 0.2%, we forecast the service of studies of the foundation of the savings banks. That figure wore the forecast of Funcas 1.1% year-on-year; finally, the rate has effectively been three tenths lower.

Finally, in the last month of 2019, the Harmonized index (HICP), which is produced in comparable terms to all members of the EU, placed his rate year-on-year at 0.8%, three tenths more than in November.

Date Of Update: 30 December 2019, 19:00