Connect with us

Hi, what are you looking for?

Jewish Business News


Israel Economy: Consumer Price Index and Inflation Data for July and January-July 2014

Pinchas-LandauBottom line: The Consumer Price Index (CPI) rose by 0.1% in July — but it has risen by the same amount for the seven months ending in July! For the 12-month period through July the index shows a rise of only 0.3%. In short, as we have been warning for some time, the Israeli economy is slipping into deflation. Indeed, once housing prices are excluded, the data show that deflation is already here.

The changes in the various sub-indices in July were minor and, for the most part, driven by seasonal factors. The fact that most sub-indices are showing a decline year-to-date (see graph below) is a better picture of the overall situation.

The only area where prices were consistently rising is housing — and even here, the housing sub-index of the CPI, which measures rental prices, not sale prices, posted a decline in July.

Please help us out :
Will you offer us a hand? Every gift, regardless of size, fuels our future.
Your critical contribution enables us to maintain our independence from shareholders or wealthy owners, allowing us to keep up reporting without bias. It means we can continue to make Jewish Business News available to everyone.
You can support us for as little as $1 via PayPal at
Thank you.

The rate of increase in the Central Bureau of Statistics’ Housing Index, which is not part of the CPI, fell to 7.7% in the year to May-June 2014 (the latest data available), from 9% in the year to April-May.

Wholesale prices are falling sharply. The Index of Wholesale Prices of Industrial Output for Domestic Use fell by 0.6% in July and by 1.3% both year-to-date and in the trailing twelve months ending in July.

The recent sharp drop in energy prices on global markets will find expression in price reductions in many sectors, both at the retail and wholesale levels, over the coming months.





You May Also Like

World News

In the 15th Nov 2015 edition of Israel’s good news, the highlights include:   ·         A new Israeli treatment brings hope to relapsed leukemia...


The Movie The Professional is what made Natalie Portman a Lolita.


After two decades without a rating system in Israel, at the end of 2012 an international tender for hotel rating was published.  Invited to place bids...

VC, Investments

You may not become a millionaire, but there is a lot to learn from George Soros.

Copyright © 2021 Jewish Business News