Prices in the Spanish economy have started to rise it seems.Spain showed a positive inflation in November following eight consecutive months of dropping prices.People in certain parts of Spain would love to know where to go to shop more cheaply as food prices have certainly been going up rather than down.There have been concerns that deflation was becoming the norm.Many would like to know just how these defationary figures are calculated.
It appears that Harmonised Index of Consumer Prices ,which is used across Europe showed a 0.4% year on year increase in November,according to the data received from the National Institute of Statistics.The HCIP has been showing negative inflation since March.
Rising energy prices will be one of the causes of this happening.Core inflation usually excludes what they see as volatile price changes such as energy and food and this index has remained fairly neutral with one increase being offset by a decrease.This core index calculation is said to show inflation actually rising by 0.8% over the year.
Christmas will be a very good indicator of the economy and etailers are facing their second recession hit festive season.Many are attempting to draw in customers with prices being slashed by 10-20% during the holiday period.
