Consumer prices showed an unrevised 0.1 percent monthly increase in April. This left the annual inflation rate at just 0.5 percent, down fully 0.3 percentage points from its final March print and equalling its lowest reading since November 2016.
The flash HICP was similarly unamended with a 0.5 percent monthly rise and a 0.6 percent yearly rate, also 0.3 percentage points short of its final March outturn.
As previously reported, the main negative impact on the change in the annual CPI rate came from unregulated energy (minus 1.2 percent after 5.0 percent) and communications services (minus 0.7 percent after 0.4 percent). A partial offset was provided by food (1.3 percent after 0.5 percent). As a result, the core index, which excludes energy and fresh food, declined 0.2 percentage points to just a 0.5 percent yearly rate.
The early Easter this year certainly seems to have helped to distort the inflation profile in March/April. However, the underlying picture clearly remains ominously soft.