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Italian July Inflation Rate Rises to 3.7% on Higher Energy Costs

Italy’s inflation rate rose to 3.7 percent in July on higher energy prices.

The inflation rate based on European Union measurements rose to 3.7 percent from 3.6 percent in June, Rome-based national statistics office Istat said in a preliminary report today. That was more than the median forecast of 3.6 percent by 12 economists in a Bloomberg News survey. Prices dropped 1.6 percent from June, Istat said.

Gasoline prices rose 12.6 percent from a year earlier, Istat said today.

Based on Italian methodology, prices remained unchanged in July from the previous month and gained 3 percent from a year earlier, Istat said today.

The European Central Bank on July 5 cut interest rates to a record low to stimulate growth and lending, and President Mario Draghi said euro-area inflation may drop below the bank’s 2 percent limit by the end of the year. ECB policy makers meet again Aug. 2. The euro-region inflation rate held at 2.4 percent in July, according to a preliminary estimate released today by Eurostat, the euro-area statistics office.

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