16 Feb 2015
Poland's deflationary period may last over a year – KBC
FXStreet (Barcelona) - According to the KBC Bank Research Desk, the more than anticipated fall in Poland’s January inflation suggests that the deflationary period may last well over a year for the country.
Key Quotes
“As regards Polish inflation data released on Friday, it showed that the country slipped into a deeper deflation in January than we had anticipated. Prices were down by 0.2 % M/M and 1.3 % Y/Y.”
“While the data are still preliminary, the observed decline in transport prices of over 4 % month-on-month, primarily attributable to low oil prices, is likely to remain the greatest surprise in terms of inflation structure.”
“In the light of January’s figures, it is probable that the period of deflation in Poland may last over a year.”
Key Quotes
“As regards Polish inflation data released on Friday, it showed that the country slipped into a deeper deflation in January than we had anticipated. Prices were down by 0.2 % M/M and 1.3 % Y/Y.”
“While the data are still preliminary, the observed decline in transport prices of over 4 % month-on-month, primarily attributable to low oil prices, is likely to remain the greatest surprise in terms of inflation structure.”
“In the light of January’s figures, it is probable that the period of deflation in Poland may last over a year.”