October CPI reading shows inflation falling

Inflation  credit: Tali Bogdanovsky
Inflation credit: Tali Bogdanovsky

Last month's Consumer Price Index was in line with expectations while housing prices ended five consecutive months of declines.

Israel’s Consumer Price Index (CPI) rose by 0.5% in October, in line with expectations. In the twelve months to the end of October, the index rose by 3.7%, down from 3.8% from the 12 months to the end of September. The Bank of Israel's target range for annual inflation is 1-3%.

There were notable price increases in clothing and footwear, which rose by 3.9% and fresh fruit and vegetables, which rose 3.2%, transport rose 1% and food rose 0.9%.

There were notable price falls in October in culture and entertainment, which fell 0.9% and rents, which fell 0.4%.

The Central Bureau of Statistics also released figures for home prices, which are not part of the CPI. After five consecutive months of price falls, deal prices in August-September 2023 compared with deals in July-August 2023 remained unchanged. Between July-August 2023 and August-September 2023, housing prices fell 0.1% in Jerusalem, rose 0.3% in Haifa and the north, rose 0.4% in the central region, fell 0.4% in Tel Aviv and fell 0.1% in the south. Prices of new apartments remained unchanged.

In comparison with August-September 2022, prices in August-September 2023 were 0.2% lower. Over this period prices rose 4.1% in Haifa, 2.8% in the north and 0.3% in Jerusalem, while prices fell 2.2% in the south, 1.7% in the central region and 0.3% in Tel Aviv. Prices of new apartments fell 3.9%.

Published by Globes, Israel business news - en.globes.co.il - on November 15, 2023.

© Copyright of Globes Publisher Itonut (1983) Ltd., 2023.

Inflation  credit: Tali Bogdanovsky
Inflation credit: Tali Bogdanovsky
Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018