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May CPI Inflation, Consumer Confidence Due Today

COLOMBIA
  • Headline CPI inflation is expected to remain unchanged at 7.16% y/y in May, even as core CPI inflation moderates further to 7.82% y/y, from 8.19% (0000BST/1900ET). In m/m terms, headline prices are expected to rise by 0.43%, following a 0.59% gain the month before. Also today, May consumer confidence is due, with analysts expecting a small improvement to -9.5, from -11.4.
    • May CPI YoY, est. 7.16%, prior 7.16%
    • May CPI MoM, est. 0.43%, prior 0.59%
    • May CPI Core YoY, est. 7.82%, prior 8.19%
    • May CPI Core MoM, est. 0.40%, prior 0.46%
  • Itaú expect headline inflation to be boosted by housing (mainly rent prices), and utilities and food prices (mainly vegetables). They also expect headline inflation to be steady in annual terms, given unhelpful base effects from last year.
  • Later this week, attention will turn to Friday’s Medium-Term Fiscal Framework, which will provide insight into the government's fiscal outlook at a time of ongoing pressure on the fiscal accounts.

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