Spanish inflation jumps to 4.3 per cent while the KOF barometer reaches 106.7
INE's flash consumer price indicator rose to an annual 4.3 per cent in August, seven tenths of a point above July, with the harmonised European Union measure at 4.5 per cent. The KOF Swiss Economic Institute's leading barometer gained 2.5 points to 106.7 in August, clearly above the 100-point growth threshold.
Economics & Markets··Midday
INE lifts flash inflation
INE's flash consumer price indicator rose to an annual 4.3 per cent in August, seven tenths of a point above July, with a monthly increase of 0.7 per cent. The harmonised measure used across the European Union came in at an annual 4.5 per cent and a monthly 0.6 per cent. The core measure, which leaves out unprocessed food and energy, eased a tenth to 2.9 per cent, widening the gap between headline and core to 1.4 points. INE names two drivers: fuel and lubricant prices for personal vehicles rose this August after falling in August 2025, and food and non-alcoholic drink prices fell by less than in the same month last year.[1]
The KOF barometer stays above the growth threshold
The KOF Swiss Economic Institute's leading barometer rose 2.5 points to 106.7 in August, clearly above the 100-point growth threshold and above its medium-term average. The July value was revised up 0.7 points to 104.2. KOF says the indicator bundles for manufacturing, other services and foreign demand particularly reflect the positive developments, while the bundles for stockpiling of intermediate products, employment prospects, production activity and order backlogs point to a strengthened outlook. The bundle for private consumption is slightly under pressure. The barometer had fallen to 95 points in March.[2]
Price pressure diverges from the growth signal
INE's release shows headline inflation accelerating in Spain while the core measure eased, with vehicle fuel reversing last year's fall and lifting the headline rate. Manufacturing and foreign-demand bundles lifted the KOF barometer while private consumption stayed slightly under pressure. INE measures price pressure in Spain; KOF's barometer points to a strengthened outlook in Switzerland.[1], [2]
