Monthly inflation of 0.6% for November 2017

Consumer Price Index- November 2017

 The inflation rate for the month November 2017 inched up to 0.6%, following an upward movement of 0.4% in October 2017 according to The Statistical Institute of Jamaica (STATIN). The Consumer Price Index for the month rose from 245.8 in October 2017 to 247.3 for November 2017. The division which recorded the highest movement for the month was ‘Food and Non-Alcoholic Beverages’ with a 1.2% growth, while ‘Housing, Water, Electricity, Gas and Other Fuels’ recorded the only decline for the month, contracting by 0.9%. Inflation within the Greater Kingston Metropolitan Area for November was 0.9% while Other Urban Centres and Rural Areas reflected rates of 0.5% and 0.4% respectively.

The index for the heaviest weighted division ‘Food and Non-Alcoholic Beverages’ advanced 1.2% as the two divisions ‘Food’ and ‘Non-Alcoholic Beverages’ registered growths of 1.2% and 0.2% respectively. According STATIN, “to prices for produce such as carrot, sweet pepper, tomato and potato rose resulting in a 3.7% increase in the index for ‘Vegetables and Starchy Food’. Additionally, prices within the class ’Sugar, Jam, Honey, Chocolate and Confectionery’ moved up by 0.6%”. For the group ‘Non-Alcoholic Beverages’ the index for the class ‘Coffee, Tea and Cocoa’ the index increased 0.3% and, while a 0.2% was observed in ‘Mineral Waters, Soft Drinks, Fruit and Vegetable Juices’.

The ‘Alcoholic Beverages and Tobacco’ index recorded an increase of 0.5% for November 2017. The movement was traced to prices for ‘Spirits’, ‘Wines’, and ‘Tobacco’ continued to move upwards for the review period. Meanwhile, the index for ‘Clothing and Footwear’ went up by 0.4% for November 2017, as both ‘Clothing’ and ‘Footwear’ division recorded a 0.1% and 0.8% increase respectively.

For the month of November the division ‘Housing, Water, Electricity, Gas and Other Fuels’ contracted 0.9%. There was a growth in the rates for water and sewage which resulted in a 0.5% upward movement in the index for ‘Water Supply and Miscellaneous’ Services Related to the Dwelling’, however this was offset by a fall in electricity rate. The fall yielded a 2.1% decline in the index for ‘Electricity, Gas and Other Fuels’. STATIN also noted, “there was also an increase in the group ‘Rentals for Housing’ which recorded an increase of 0.7 per cent in its index.” The ‘Electricity, Gas and Other Fuels’ was the main driver behind the decline, this as the group recorded a 1.1% decline. In contrast the groups ‘Water Supply and Miscellaneous Services Related to the Dwelling, and Maintenance and Repair of Dwelling’ increased by 0.4%.

‘‘Furnishings, Household Equipment and Routine Household Maintenance’ division grew 0.1% for November 2017 due to ‘Glassware, Tableware and Household Utensils’ which recorded a 0.3% increase. The ‘Health’ division rose by 0.1% as a result of an increase in the group ‘Medical Products, Appliances and Equipment’ which rose by 0.2%.

The index for ‘Transport’ inched up 1.0% mainly due to higher petrol prices and air travel costs. ‘Education’ and ‘Miscellaneous Goods and Services’ increased 0.2% and 0.1% respectively. This as the index for ‘Education’ was impacted by an increase in the CSEC examination fees, while the movement in ‘Miscellaneous Goods and Services’ stemmed from increases in the cost of personal care products and services.

The Inflation rate year to date is 4.6%, while the point-to-point rate (November 2016 – November 2017) and fiscal year 2017/ 2018 was 4.9% and 3.6% respectively. Individual divisions saw the following changes:

  1. Food and Non-Alcoholic Beverages: (1.2%)
  2. Alcoholic Beverages and Tobacco: (0.5%)
  3. Clothing and Footwear: (0.4%)
  4. Housing, Water, Electricity, gas and Other Fuels: (-0.9%)
  5. Furnishing, Household Equipment and Routine Household Maintenance: (0.1%)
  6. Health: (0.1%)
  7. Transport: (1.0%)
  8. Communication: (0.0%)
  9. Recreation and Culture: (0.0%)
  10. Education: (0.2%)
  11. Restaurants and Accommodation Services: (0.0%)
  12. Miscellaneous Goods and services: (0.1%)

 

The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.

 

 

2017-12-18T15:56:28+00:00