Russian inflation slows to 0.1% in Aug - Rosstat

Russia had 0.1 percent inflation in August, compared with 1.2 percent in July, the Federal State Statistics Service (Rosstat) said.

Consumer prices had risen 0.9 percent in June, 0.5 percent  in May, 0.3 percent in April, 0.6 percent in March, 0.4 percent in February and 0.5 percent in January.

The August inflation was below the 0.3 percent that analysts forecast in a consensus forecast for Interfax.

Russia had 0.2 percent deflation in August last year, so inflation in annual terms accelerated to 5.9 percent in August this year, from 5.6 percent in July, 4.3 percent in June, 3.6 percent in May and April, 3.7 percent in March and February, 4.2 percent in January and 6.1 percent in December.

Inflation jumped in June-July due to the hike in service charges on July 1 before slowing again in August. Price growth could quicken again in September, however, due to further price rises averaging at 6 percent for heat, water supply and waste-water disposal on top of the 6 percent by which these charges went up on July 1.

Inflation for the period January-August was 4.6 percent, or just a shade below the 4.7 percent seen in the same period of last year.

The core or underlying inflation index, which excludes short-term irregular price changes caused by various factors of an administrative, once-off and seasonal nature, was 100.6% in August 2012 (100.4 percent in August 2011).

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