Table of Contents:
Overview of producer price trends
In December 2024, the Italian industry recorded an increase in producer prices of 0.6% compared to the previous month and by 1.1% on an annual basis, according to data provided by ISTAT. This marks a reversal from the negative trend in November, when there was a decline of 0.5%. The price recovery is a positive sign for the economy, suggesting a possible stabilization after a period of fluctuations
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Analysis of the domestic and foreign market
In detail, domestic market prices showed an increase of 0.8% compared to November and by 1.3% on an annual basis, in stark contrast to the -0.7% recorded in the previous month. This increase is particularly significant, as it indicates a recovery in domestic demand and greater economic activity.
Net of the energy sector, the economic increase was more modest, reaching +0.1%, while trend growth rose to 0.5%, up from +0.3% in November.
Impact of international dynamics
As for the foreign market, the monthly price increase was 0.1%, with a growth of 0.2% in the euro area and a slight decline of 0.1% in the non-euro area. On an annual basis, prices grew by 0.4%, with an increase of 0.3% in the euro area and 0.8% in the non-euro area. These data suggest that, while Italy is facing domestic challenges, international dynamics continue to influence prices, highlighting the importance of monitoring global trends
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Future prospects for the Italian economy
Retail sales in Spain, which registered an annual growth of 4% in December 2024, according to the Spanish National Institute of Statistics, provide an interesting context for analyzing the European economy. This increase exceeded analysts’ forecasts, who expected an increase of 0.5%. The Spanish performance could also be reflected in the price trend in Italy, suggesting that an improvement in domestic demand could lead to further increases in producer prices in the coming months
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