Overview

• Consumer price inflation climbed to 1.7% year-on-year in June after a 1.6% reading in May, according to Istat’s preliminary data.
• Underlying inflation excluding energy and fresh food accelerated to 2.1% from 1.9% a month earlier, signaling broadening price pressures.
• Food costs rose 3.5% overall with unprocessed goods jumping 4.2% year-on-year compared with processed items at 3%.
• Transport service fees increased by 2.9% year-on-year, intensifying upward pressure on core consumer prices.
• The annual cost of the ‘shopping basket’ of everyday goods expanded by 3.1%, adding strain to household budgets.