Norway: Inflation moderates in December
January 11, 2016
In December, consumer prices fell 0.4% over the previous month, which contrasted the 0.4% increase recorded in November and marked a starker decrease than market expectations of a 0.2% drop. The print was the lowest figure recorded since July 2012. According to Statistics Norway, the decrease was mainly driven by lower prices for food and non-alcoholic beverages, as well as prices for housing, water, electricity, gas and other fuels.
Inflation in December eased from November’s 2.8% to 2.3%. Annual average inflation in December was level with November’s reading of 2.2%.
Meanwhile, the core consumer price index, which excludes taxes, fees and energy prices, decreased 0.2% over the previous month, which contrasted November’s 0.2% increase. Annual core inflation came in at 3.0% in December, which was broadly in line with November’s reading of 3.1%. Annual core inflation has been generally steady between 2.9% and 3.1% since August 2015.
Author: Robert Hill, Economist