BUENOS AIRES, June 11 (Reuters) – Argentina recorded slower inflation in May for the second month in a row, below analyst forecasts, even as the 12-month figure increased, data from national statistics agency INDEC showed on Thursday.
May’s inflation rate of 2.1% was down from 2.6% registered in April and came slightly under analyst expectations of 2.3%.
In the 12 months through May prices rose 33.2%, climbing from the previous month’s rate of 32.4%.
May’s inflation was underpinned by seasonal prices that grew 3.5%, led by vegetables, INDEC said. Fuel, electricity, and water costs also saw a bump, rising 2.4%.
Communications and education prices rose 3.4% and 2.9% respectively versus the month before.
The smallest increases were seen in alcoholic beverages and tobacco, up 0.8%, and clothing and footwear, which rose 0.3%.
On Wednesday, a Reuters poll showed analysts expected Argentina’s monthly inflation to cool for the second month running in May, despite predicted rises in year-on-year inflation.
Economy Minister Luis Caputo has said that the annual trajectory of consumer prices would fall to around 20% in coming months if the economy avoided new disruptions.
President Javier Milei’s early progress in curbing inflation lost momentum in 2025, as uncertainty surrounding the mid-term elections began to weigh on the economy.
(Reporting by Hernan Nessi and Jorge Otaola, Editing by Daina Beth Solomon)
