Reports from Statistics Norway revealed on Friday that the country's consumer price inflation has been continuously softening for the fourth month in a row in April, hitting a seven-month low. On the other hand, producer prices are maintaining their downward trajectory.
The consumer price index increased by 3.6 percent on a year-to-year basis in April, a progression slower than the 3.9 percent increase in the previous month. This slowdown was predicted by economists who expected inflation to ease to 3.4 percent.
This rate of inflation is the slowest since September 2023, when the year-over-year increase in prices was 3.3 percent.
When it comes to annual price increases, growth for utilities costs slowed down to 2.0 percent, a decrease from 2.5 percent in March. Recreation and culture costs rose at a slower pace as well, going from 8.0 percent to 7.5 percent. On the contrary, prices for food and non-alcoholic beverages accelerated, with the rate of increase going from 6.0 percent to 6.8 percent compared to the previous month.
Consumer prices, on a month-to-month basis, increased 0.8 percent in April following a 0.2 percent rise in March.
The core inflation rate, which does not factor in changes in energy prices and taxes, decreased slightly to 4.4 percent in April from 4.5 percent the previous month. The projected inflation rate was 4.3 percent.
Another report from the statistical office depicted that producer prices fell 4.5 percent annually in April, compared to a steeper 6.9 percent drop the preceding month. The prices have been on a downward trend since February 2023.
Prices for energy goods witnessed the most significant decline, with a drop of 10.6 percent compared to the previous year.
Producer prices had a 3.4 percent month-over-month increase in April, more significant than the 2.7 percent rise in March.
