Zero Inflation in August.
5 September 2008
The consumer price index did not change in August, resulting in a cumulative 8M06 CPI rate of 3.8%. Alexander Viktorov: Prices for services (+3.0%) continued to be the main inflationary pressure, but were balanced out by the traditional summer decline in prices for food products (-1.2%). We expect CPI to accelerate in the fall when prices for food products traditionally increase. We maintain our forecast of the 2006 CPI rate at 10%.
