Gasoline prices push CPI to highest increase since beginning of year

The consumer price index this month is estimated to have increased by 0.27% - the strongest in nearly half a year - mainly due to the increase in gasoline prices on June 28.

The General Statistics Office has just announced the consumer price index in July with an increase of 0.27%, the highest since February 2013. Overall, the CPI in the first 7 months increased by 2.68%. This figure is still quite "safe" compared to the target of controlling inflation below 6.81% this year.

The main driver of price increases in July was gasoline. The adjustmentJuly 17has not been reflected in this month's CPI (because the price calculation period ends on the 15th), but the decision to increase prices at the end of June has caused the price index in the transportation group to increase by 1.34%, according to statistics. This is the item with the strongest price increase in the CPI basket and may continue to escalate in August when a representative of the Ministry of Finance said that the adjustment of gasoline prices on July 17 could add 0.1% to next month's CPI.

In addition to transportation, housing, electricity, water, fuel and construction material prices increased sharply (0.43%), partly due to the impact of rising gas and kerosene prices and the university and college entrance exam season in major cities. Next were prices of cultural and entertainment services (0.31%), beverages and tobacco (0.29%) and household appliances and equipment (0.26%).

Although the food and catering services group accounts for the largest proportion in the basket of goods used to calculate the index, it only increased by 0.1% in July, including food items that decreased slightly by 0.3%.

Not included in the consumer price index basket, the gold price index according to the General Statistics Office continued to decrease by 6.28% while the US dollar price index increased by 0.68% after the fever in late June and early July.

According to VnExpress - TH