Core inflation excluding food and energy prices amounted to 3.7% in July 2021 on an annual basis compared to 3.5% y / y in June 2021, the National Bank of Poland (NBP) reported.
The market consensus was 3.6 y / y.
The NBP also announced that core inflation net of administered prices amounted to in July this year. 4.7% in annual terms against 4% in June.
Core inflation excluding most volatile prices amounted to 3.3% in July against 2.9% in June.
Core inflation calculated using the 15% trimmed mean amounted to 3.6% in July against 3.1% in June.
The consumer price and services index (CPI inflation) amounted to 5% y / y in July 2021 against 4.4% y / y in June.
“Narodowy Bank Polski calculates four core inflation indices every month, which helps to understand the nature of inflation in Poland. The CPI index shows the average change in the prices of the entire large basket of goods purchased by consumers. When calculating the core inflation indexes, changes in prices in various segments of this basket are analyzed. This allows for a better identification of the sources of inflation and a more accurate forecast of its future trends. It also allows to determine to what extent inflation is permanent, and to what extent it is shaped by, for example, short-term changes in prices caused by unpredictable factors. It shows the trends in prices of those goods and services that are relatively heavily influenced by the monetary policy of the central bank, as the prices of energy (including fuels) are determined not on the domestic market, but on the world markets, sometimes also under the influence of speculation Food prices largely depend on, among others on the weather and the current situation on the domestic and global agricultural market,”accourding to the announcement.
Source: Narodowy Bank Polski and ISBnews
