- CPI +3.2% vs +3.4% y/y expected
- Prior +3.2%
- HICP +3.6% vs +3.6% y/y expected
- Prior +3.5%
The preliminary estimate shows that Spanish headline inflation held steady in May, keeping at a similar rate to April. However, core annual inflation continues to tick up and is keeping above the average seen for last year already. And we're only just five months in, still having to factor in further spillovers from higher energy prices in the months ahead.
Core annual inflation is estimated to move up to 2.9%, same as it was in March but well above any levels that were recorded last year. The estimate is the highest since June 2024 otherwise.
Circling back to headline prices, the Spanish stats office points out that higher prices were observed in the transport category - which arguably points to fuel prices being much higher than they were a year ago. That comes as no surprise amid the oil and gas price surge due to the Middle East conflict. And that looks set to intensify further in the months ahead, especially as we look to the summer time.
The monthly rate shows just a 0.1% increase in headline inflation, at least reaffirming that general price pressures are holding thereabouts after the spike in March and April.
