Final data provided by the National Statistics Institute (INE) showed that in July consumer price growth slowed to 2.8% per annum, as expected, from 3.4% per annum in June. This was the weakest growth since February 2024. Prices of food and non-alcoholic beverages rose 3.1% after an increase of 4.2% in June. Price growth also slowed for housing & utilities (3.2% vs 5.1%) and recreation & culture (1.6% vs 3%). On a monthly basis, the CPI fell 0.5%, as expected, after increasing 0.3% in June.
Core CPI - excluding energy and fresh food - rose by 2.8% per year (the lowest level since January 2022) after an increase of 3.0% per year in June. On a monthly basis, the core CPI declined by 0.3% after rising 0.5% in June.
The data also showed that in July, the harmonized index of consumer prices (HICP) - an indicator that allows to compare inflation in Spain with inflation in European countries - fell by 0.7% compared to June and rose by 2.9% per annum. In June, HICP increased by 0.4% on a monthly basis and by 3.6% per annum.