MercoPress. South Atlantic News Agency

Argentine consumers expect Inflation in the next twelve months to average 31.3%

Prices in Argentina continue to soar despite official denials

Expected inflation in Argentina for the next twelve months is on average 31.3% according to the monthly survey from the Torcuato Di Tella University, UTDT. However the monthly expectation dropped 1.6 percentage points compared to September in all regions of Argentina.

The report from the UTDT Finance Research Centre also indicates that the inflation expectation gap between low income and high income groups stands at 1.4 percentage points.

This means that the inflation estimate for the next twelve months in the Capital Buenos Aires averaged 30%, which is 1,8 percentage points less than the previous month.

Likewise expectations in Great Buenos Aires, reached 30.9%, or 1.3 percentage points less than in September. And in the rest of the country those inflation expectations stood at 32.5% or two percentage points less than the previous reading.

Inflation expectations for low income groups in the coming twelve months was recorded at 32.4%, or a drop of 3.7 percentage points. For the high income groups inflation estimate is 31%, or 0.4 percentage point less than in September.

Argentine 'official' inflation from Indec during September reached 0.8%, and 7.4% in the first nine months of the year with an annualized 10.5%. These percentages are less than half the estimates from an average of private consultants released as the Congressional index, by opposition members from the Freedom of Expression committee

In effect the September Congressional estimate was 2.1% and 25.4% in the last twelve months. The September index was described as “the highest for the month since 1991”.