Actual (Aug): 0.2 % m/m, -5.1 % y/y
Consensus: 0.0 % m/m, -5.3 % y/y
Previous (Jul): -0.4 % m/m, -4.9 % y/y
Industrial producer prices grew slightly in August mainly thanks to higher prices of refined petroleum products and chemicals. Prices of metals and metal products and of food all went down on the other hand. The y-o-y PPI remains deep in red; -5.1 pct is the record fall from the beginning of the time series.
After the CPI indicated no important inflationary pressures from the demand side, today PPI has shown that no significant inflationary threat comes from the cost side either. We see the CNB interest rates to stay flat for an extended period of time despite the recent dovish comment by CNB´s Tomšík.