The IPC tuck the end of the year with moderation. In November, the indicator that measures the inflation stood at 1.7%. That is to say: the prices in Spain went up compared to last year, but that the rise is six tenths lower than that experienced in October. Electricity and fuel are responsible for this moderation, as we go through the National Institute of Statistics.
INE
The indicator published on Thursday the National Statistics Institute is the advance, that is to say, that only offers a fact very general, and to know in detail what items of the shopping basket are the ones that have pushed up the cost of living will have to wait another two weeks. But the trend that shows is clear: “This indicator provides a preview of IPC that, if confirmed, would imply a decrease of six-tenths in its annual rate, since in the month of October this variation was 2.3%,” recalls the agency.
“In this behavior highlights the drop in the prices of electricity and fuel (diesel and gasoline), compared to the increase experienced in 2017,” he summarizes. The decrease of petrol and diesel is very much linked to the collapse in Ngbahis the price of oil: the barrel cost today about $ 58, compared to 76 dollars just a month ago and the $ 85 that came to cost at the beginning of October.
The CPI and pensions
The indicator of November was traditionally very important, because before the pension reform of 2013, the CPI of November was the one that was used to check if the update applied during that year was correct or you had to compensate pensioners with a payment that will adjust the provision to the actual CPI. However, although the Government of Peter Sanchez will also use this method of adjustment Work specified a few days ago would be set in the CPI of December for compensation. So I still will have to wait a month to know if there has been descuadre and pensioners should be compensated.
When they approved the Budget, it was established an increase of 1.6%, in pensions, and according to the CPI of December, that compensation will be higher or lower. November already marks an increase of 1.7%, very close to the rise applied. And the oil continues to the downside. Keep the crude in the path of a fall, there is the possibility that the year end inflation to be reduced and no offset with the increase of 1.6%, already applied.
