WEDNESDAY, 8.30AM
ECONOMISTS were delighted by April’s producer inflation rates from the Central Statistical Services, the first in months to show a sharp decline. April’s inflation rate was 8,8%, against 9,6% in March. A key factor was the drop in world crude oil prices which brought the imported commodities component of the Producer Price Inflation rate down 3,2%, month on month. The local component of PPI increased 1,2%.
Economists were on Monday predicting that the inflationary tide has now been broken, with the prospect of the inflation figures dropping to around 7% by the end of the year, giving the Reserve Bank more reason to cut bank rates. *
Central Statistical Services site (warning: there appears to be a problem with the site at the moment)