Food inflation recorded its fourth successive year on year increase and is now at its highest point for the year. The inflationary pressures are distributed across a range of food groups, with processed food reflecting a higher rate of inflation at 7,6% compared to processed food at 6,3%.
Prices of alcoholic beverages dropped on average by 0,3% between May and June. This drop breaks a series of successive monthly increases for the past 6 months which by themselves almost fully account for the annual rate of 6,5%.
Actual and imputed rentals for housing represent a significant 16,2% of the total CPI weight. Results from the June rental survey showed increases of 1,5% and 1,4% for these respectively. These increase are bigger than the 1,2% recorded this time last year. These increases pushed the housing category to be the biggest single contributor to this months mom inflation – 0,2 of the 0,3% monthly increase.
The usually influential transport category was up only 0,2% mom. The petrol price dropped 8c between May and June, but public transport increased by 1,7% mainly because of annual increase in train fares of 7,9%. Increases in taxi fares are more muted than observed in 2012.