The Consumer Price Index (CPI) rose 1% in April, according to data released by the Central Bureau of Statistics today.
The figure was in line with market expectations of 1-1.2%.
Over the past 12 months, inflation as measured by the CPI rose 3.1%, near the top limit of the 1-3% target range.
Nearly all components of the index rose. The domestic and overseas leisure and vacation component was up 7.8%, due to the Passover holiday in April. Automobile fuel and oil rose 8.3%, as crude oil prices rose worldwide.
The clothing component rose 3.3%, as stores began to display spring and summer collections.
The main index components that dropped were prices of cucumbers and bread.
Capital market sources do not expect the April CPI to lead to a change in monetary policy, and believe that the Bank of Israel will keep interest rates unchanged at 0.5% for now.
Published by Globes [online], Israel business news - www.globes-online.com - on May 15, 2009
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