Spanish inflation hits record, surprisingly reaching double digits.
According to the INE Statistics Office data, inflation in the country rose to 10.2 percent annually in June. It was 8.7 percent in the previous month. The median estimate of economists surveyed by Bloomberg was 8.8 percent.
Thus, inflation exceeded 10 percent for the first time since 1985. Core inflation rose to 5.5 percent annually. The previous was 4.9 percent. On the other hand, EU-compliant CPI rose from 8.5 percent to 10 percent.
The rise in food and energy costs triggered the increase in inflation. Eurozone inflation data, which will be announced on Friday, will also be important for the ECB’s interest rate decision in July.
The government announced a 9 billion euro package in Spain against high inflation and economic crisis.
