Chile: Inflation comes in at highest level since November 2014 in September
Consumer prices rose 1.18% in September over the previous month, picking up from August’s 0.36% rise. September’s uptick marked the highest reading since June 2008. Looking at the details of the release, transportation prices rose at a quicker pace in September compared to the previous month and price pressures for housing, utilities and fuel eased somewhat but remained elevated.
Inflation rose to 5.3% in September, above August’s 4.8%. September’s result represented the highest inflation rate since November 2014, and was well above the Central Bank’s 3% target. Annual average inflation edged up to 3.6% in September (August: 3.4%). Finally, core inflation rose to 4.4% in September, from August’s 3.8%. Intensifying price pressures in recent months have been driven by a mixture of vast fiscal stimulus at home, a wilting peso and higher international energy prices.