Inflation accelerated slightly in the nation’s capital last month, with consumer prices up 3.3 percent due to increases in services.
December’s rate was a rise of 0.1 points from November’s 3.2 percent. Goods increased by 1.9 percent, with services rising 4.2 percent.
Data from City Hall reveals that consumer prices rose 136.7 percent in Buenos Aires City in 2024.
Last month’s figure, something to watch for President Javier Milei’s national government, ran contrary to the expectations of most private analysts, who had predicted a continuing consumer price slowdown in the last month of the year.
Analysts are waiting for the official national figure next Thursday because if it is below 2.5 percent, the Milei government is expected to lower the crawling peg from two percent to one percent, with an accompanying interest rate cut from the Central Bank.
Monthly hikes in Buenos Aires were led by rises for insurance and financial services, restaurants and hotels and alcoholic beverages and tobacco.
Food items rose 2.3 percent last month, contributing 0.42 points to the overall index. The main increases came from meat and meat products (7.6 percent) and milk, dairy products and eggs (2.1 percent).
Meanwhile, housing maintenance recorded a rise of 3.9 percent, contributing 0.75 points to the overall level.
This increase was impacted by rises in the values of common housing costs and rent.
Transport registered a rise of 3.5 percent due to increases in the prices of airline tickets, fuel and lubricants for household vehicles.
Health expenditure rose by 3.7 percent, due to adjustments in prepaid medical care. Information and telecommunications rose 4.3 percent.
– TIMES/NA
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