OECD annual inflation picks up to 3.1% in October 2018


Annual inflation in the OECD area picked up to 3.1% in October 2018, compared with 2.9% in September, as energy prices increased by 10.3% in October, compared with 8.2% in September. Food price inflation on the other hand slowed to 2.1%, from 2.3%. Excluding food and energy, OECD inflation was stable at 2.3% in October.

Although OECD inflation is now at its highest rate since October 2011, this, in large part, reflects on-going high inflation in Turkey (25.2% in October). Excluding Turkey, annual inflation in the OECD area marginally increased to 2.3% in October, compared with 2.2% in September.

Consumer prices, selected areas

October 2018, percentage change on the same period of the previous year

OECD-Total (CPI) and euro area (HICP)

Percentage change on the same month of the previous year

In the year to October, among G7 countries, annual inflation increased moderately in Canada (to 2.4%, from 2.2%), Germany (to 2.5, from 2.3%), Italy (to 1.6%, from 1.4%), Japan (to 1.4%, from 1.2%) and the United States (to 2.5%, from 2.3%) and was stable (at 2.2%) in France and the United Kingdom.

Annual inflation in the Euro area, as measured by the HICP, increased to 2.2% in October, compared with 2.1% in September. Excluding food and energy, euro area inflation also picked up to 1.1% in October, compared with 0.9% in September. However, Eurostat’s flash estimate for November points to a slowdown in overall inflation as well as in inflation excluding food and energy, to 2.0% and 1.0%, respectively.

Annual inflation in the G20 area increased to 3.8% in October 2018, compared with 3.6% in September. Among the G20 emerging economies, annual inflation picked up markedly in Argentina (to 45.9%, from 40.5%) and more moderately in Indonesia (to 3.2%, from 2.9%), Saudi Arabia (to 2.4%, from 2.1%), South Africa (to 5.0%, from 4.8%), Brazil (to 4.6%, from 4.5%) and the Russian Federation (to 3.5%, from 3.4%). It was stable in China (at 2.5%) and decreased in India (to 5.2%, from 5.6%).