Inflation returns to Ireland officially

[David Cochrane]

Prices rise by 0.2% in the year to August according to figures just published by the Central Statistics Office, it increased last month by 0.7%. Prices on average, as measured by the CPI, were 0.2% higher in August
compared with August 2009.

Consumer Prices in August, as measured by the CPI, increased by 0.7% in the month. This compares to an increase of 0.4% recorded in August of last year. As a result, prices on average, as measured by the CPI, were 0.2% higher in August compared with August 2009.

The most notable changes in the year according to the CSO were:

Increases in Education (+9.5%)
Housing, Water, Electricity, Gas & Other Fuels (+7.9%)
Communications (+2.9%)

There were decreases in:
Clothing & Footwear (-8.2%)
Furnishings, Household Equipment & Routine Household Maintenance (-4.0%)
Food & Non-Alcoholic Beverages (-3.2%)
and Alcoholic Beverages & Tobacco (-3.2%)

[Cassandra Syndrome]

Just released by the CSO. 0.2%

http://www.cso.ie/releasespublicatio...urrent/cpi.pdf

Housing costs such as mortgage interest and clothes and footwear and fuel and energy costs seem to be the culprits in August.

[David Cochrane]

The main factors contributing to the monthly change were as follows:


• Clothing & Footwear rose due to a recovery in prices following the traditional summer sales.
• Housing, Water, Electricity, Gas & Other Fuels increased due to higher average mortgage interest repayments.
• Transport rose due to increases in airfares and car rental charges.
• Food & Non-Alcoholic Beverages fell due to lower prices across a wide range of food and non-alcoholic beverage items.

[fool]

So presumably everybody who called for cuts in wages and social welfare on the grounds of deflation will now seek increases in peoples' income instead?

[SideysGhost]

So as usual the Govt/Bank sectors (same thing now really) are the primary drivers of increased costs in the Irish economy.

This has been going on for years (decades!) and nobody wants to face up to it.

Low Stable Prices Good - but that, in Ireland, is considered Heresy.

[Asparagus]

Prices rise by 0.2% in the year to August according to figures just published by the Central Statistics Office, it increased last month by 0.7%. Prices on average, as measured by the CPI, were 0.2% higher in August
compared with August 2009.



The most notable changes in the year according to the CSO were:

Increases in Education (+9.5%)
Housing, Water, Electricity, Gas & Other Fuels (+7.9%)
Communications (+2.9%)

There were decreases in:
Clothing & Footwear (-8.2%)
Furnishings, Household Equipment & Routine Household Maintenance (-4.0%)
Food & Non-Alcoholic Beverages (-3.2%)
and Alcoholic Beverages & Tobacco (-3.2%)

Is that inflation almost entirely due to government surcharges - electricity, gas other fuels - and incraeses in education - is that university registration fees?

Market products all seem down year on year - so are we being taxed into inflation?

[foreignfield80]

Driven largely by state and semi-state entities, Constantin Gurdgiev highlighted this last month.

True Economics: Economics 12/8/10: Irish July CPI: Deflation is over, for the State sectors

[White Horse]

Driven largely by state and semi-state entities.

Government hampering a return to competitiveness.

What a surprise.

[Squire Allworthy]

The curve now heading back up. The UK is about 9 months ahead of you with RPI just below 5%. Money in bank earns how much in interest?

The UK for comparison





Looking ahead many commodity futures are rising. One to watch as demand increases is our old favourite Brent Crude.



As inflation increases cash ceases to be King. You need to invest and earn returns.

[Thomas Ofiannachta]

The curve now heading back up. The UK is about 9 months ahead of you with RPI just below 5%. Money in bank earns how much in interest?

The UK for comparison





Looking ahead many commodity futures are rising. One to watch as demand increases is our old favourite Brent Crude.



As inflation increases cash ceases to be King. You need to invest and earn returns.

I have noticed that the london ftse is around 5450 today. this is around 500 points more than around 3 months ago(i know it dipped below 5000 in last 3 months) So the FTSE is 10% up in last 3 months or so!

I am not sure how relevant this is to this thread but i am too young to start my own thread.But i wonder how these figures compare to the irish exchange!