Annual inflation eased a little in July, due to slower growth in energy and food prices, according to the Organization for Economic Co-operation and Development (OECD).
It reported that inflation in the OECD area rose by 1.9% in the year to July, down from 2.0% in June, as the rise in energy and food prices ebbed. Energy price inflation dropped to 0.7% in July, down from 1.4% in June. And, food price inflation slowed to its lowest rate since September 2009, coming in at 2.3% in July, compared with 2.8% in June. Excluding food and energy, the OECD annual inflation rate was unchanged at 1.8% in July.
The OECD reports that prices continued to fall in Japan (by -0.4% in July, down from -0.2% in June). And, that annual inflation slowed sharply in the U.S. (to 1.4% in July, down from 1.7 % in June) and more moderately in Canada (to 1.3%, down from 1.5%) and Italy. Elsewhere in Europe, inflation remained stable in France and Germany, but increased in Britain.
Among emerging markets, annual inflation continued to decelerate in South Africa, China and India, but it accelerated sharply in Russia, and also rose a bit in Brazil and Indonesia, the OECD says.
It also reports that, on a month-over-month basis, consumer prices in the OECD area fell by 0.1% in July. They fell by 0.4% in France, by 0.3% in Japan, 0.2% in the U.S., and 0.1% in Canada. They rose by 0.1% in Italy and Britain, and by 0.4% in Germany.