September CPI reading up more than expected

Israel’s Consumer Price Index (CPI) rose by 0.2% in September, the Central Bureau of Statistics reported this afternoon. Analysts had expected the CPI last month to remain unchanged or rise by 0.1%.

The rate of inflation for the twelve to the end of August remains at 4.6%, unchanged from the twelve months to the end of August, despite falls in the price of fuel and the cost of vacations last month. The CPI rose by 4.3% in the first nine months of 2022.

The main contributor the rise in the CPI in September was a 3.3% rise in fresh fruit and vegetables, while health and education services each rose by 1%, while housing costs and furniture each rose by 0.6%. Housing rents rose by 0.7%. Culture and entertainment prices fell 1.2% last month, transport and communications fell 0.5% and food prices without fresh fruit and vegetables, fell 0.4%.

Home prices, which are not included in the CPI, rose by 1.9% in July-August in comparison with June-July, completing an 19% year-on-year rise.

By region, housing prices in Jerusalem rose by 2.8% in July-August in comparison with June-July, and by 2.6% in the north, 2% in Haifa, 1.9% in Tel Aviv, 1.8% in Central Israel, and by 1% in the south.

Over the past 12 months, housing prices have risen by 21.2% in central Israel, 20.3% in the north, 20.1% in Haifa, 17.6% in Jerusalem, 17.1% in Tel Aviv, and 16.2% in the south.

Published by Globes, Israel business news – en.globes.co.il – on October 14, 2022.

© Copyright of Globes Publisher Itonut (1983) Ltd., 2022.