The shopping basket moderates its price rise but remains at 12%

2023-06-13 09:03:38

He increase in cost of shopping basket slowed down again in may, with a drop in tone to one point, although they remain at 12%, still at a double-digit level. As a consequence of this evolution and the descent of the fuels and the electricitythe annual rate fell to 3.2%, the lowest level for almost two years, and the harmonized indicator, which is the one used to compare with the rest of the EU countries, has been in the 2,9%which places the Spain among the countries with less inflation from UE. This has allowed a downward correction of underlying inflation, the most structural, which excludes the most volatile prices such as energy and unprocessed food, up to 6.1%.

The evolution of the shopping cart is influenced by falling prices for milk, cheese and eggs. Also prices of fish and shellfish fallwhose effect is accentuated because they increased in May 2022. The bread and cereal stability it also influences negatively because they grew last year. It should be noted, albeit to the contrary, the drop in the prices of legumes and vegetableslower than in May of the previous year.

In April, the increase in food prices subsided and registered the first significant cut in 15 months, despite the fact that it was still held at 12.9%, according to data from the Consumer Price Index (CPI). After an almost uninterrupted rise since January 2021, food inflation fell by 3.5 points in April and stood at 12.9% (compared to the peaks of 16.6% and 16.5% recorded in February and March). The abolition of VAT on essential foods such as milk, cheese or eggs and the reduction from 10% to 5% on pasta and oils, which was launched on January 1 and the drop in the price of energy in In recent months it is beginning to be clearly reflected in inflation, although now the factor included in the drought, especially in fresh products.

The Vice President and Minister of Economy, Nadia Calviño, stated last week that VAT reductionwhich was scheduled to end on June 30, It will remain as long as food prices remain high.

The evolution of the general level of prices caused the European Central Bank (ECB) to initiate last July a cycle of rises interest rates and that has placed it in that space of time from 0% to 3.75%. On Thursday, the governing council of this body can approve another rise of 0.25 points, as in May, after the Federal Reserve has made its decision on the price of money the previous day.

The truth is that the rise in interest rates, in addition to having an impact on the 12-month Euribor, the main benchmark for variable rate mortgages, has begun to affect economic growth.