The factory-gate prices in Romania increased by 1.24% in January while the annual rate of increase eased to 24.0% y/y from 32.8% y/y in December, according to data reported by the statistics office INS.
Industrial price inflation, which is a driver for the consumer (or headline) price inflation, peaked at over 50% y/y in July-August then fell as prices of energy and food moderated.
Regarding consumer goods – the category closer to the headline inflation – the annual increase eased more moderately, though: to 19.5% y/y in January from 20.5% y/y in December.
Prices of durable goods, however, already moderated to a 12.1% y/y growth rate from 14.8% y/y in December.
The 13.9% y/y advance of the intermediary goods’ prices (from +16.3% y/y in December) bodes well for further development of the prices of consumer and durable goods.