Spain December preliminary CPI +5.8% vs +6.8% y/y prior | Forexlive

• CPI +0.3% m/m
• Prior -0.1%
• HICP +5.6% vs +6.0% y/y expected
• Prior +6.7%
• HICP +0.1% m/m
• Prior -0.3%

That’s now five months running that annual inflation in Spain has been on the decline, since peaking at 10.8% in July. The drop is surely still largely to do with falling energy prices, with milder weather conditions so far this winter being a key reason for that in Europe. If there is something to take away from this report, it is that other countries in the euro area are likely to see a similar trend.