FX.co ★ Dutch Inflation Confirmed At 5-Month High, Household Consumption Rises Slowly

Inflation in the Netherlands surged to a five-month high in June, confirming initial estimates, according to the latest figures released by the Central Bureau of Statistics on Tuesday.

Additional official data indicated that household consumption growth slowed to its weakest pace in three months.

Consumer prices experienced a year-over-year increase of 3.2 percent in June, up from the 2.7 percent rise observed in May. This figure aligns with the preliminary data published on July 2.

The last time a similar inflation rate was recorded was in January.

Inflation measured by the Harmonized Index of Consumer Prices (HICP) also climbed to 3.4 percent from 2.7 percent in May, consistent with estimates.

The agency attributed the rise in inflation partially to higher tobacco prices due to an increase in excise duties. Clothing prices increased by 1.3 percent in June, after being 3.9 percent cheaper in May.

Another set of official data revealed that household consumption grew by just 0.2 percent month-over-month in May, compared to a 0.6 percent growth in April. Consumers notably increased their spending on services and durable goods, such as clothing.