Inflation in Chile falls to 3.9% in May and the monthly CPI slows to 0.2%

Chile's inflation falls to 3.9% year-on-year in May and the monthly CPI slows to 0.2%, with falls in food and rises in housing and leisure.

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Chile's Consumer Price Index (CPI) stood at 3.9% year-on-year in May, one tenth below April's figure, according to data published this Monday by the National Statistics Institute (INE).

In monthly terms, inflation advanced 0.2%, representing a sharp slowdown of one point and one tenth compared to the previous month. Core inflation, which excludes the most volatile components such as food and energy, rose 0.4%, in a context where food prices fell 0.8% and energy prices increased by 1%.

By spending groups, the largest monthly increases were recorded in recreation, sports, and culture, with a rise of 0.9%, followed by housing and basic services, which increased by 0.7%. Also noteworthy were the increases in transportation and restaurants and accommodation, both with a positive variation of 0.6%.

Conversely, the food and non-alcoholic beverages category registered a drop of 0.8%, while the prices of clothing and footwear, as well as insurance and financial services, fell by 0.2% in each case. For their part, information and communication services showed no price variations.