the long-term forecast of Lithuanian HICP
calculated by individual items with 12 divisions.
Finally, the share of market non-tradables in the HICP
is low in the transition economies.
This is of particular concern in the euro area as the ECB has a numerical target for the HICP
The Bureau recently published an experimental HICP
series for the United States.
It now looks likely that HICP
will be adopted in November, together with a new 2pc inflation target, and this has sparked off speculation that interest rates may be headed even lower.
While the level of inflation remains high, these developments confirm the view that the past increase in HICP
inflation was, to a significant extent, the direct effect of temporary factors which should gradually unwind.
It enables the existence of a possible positive measurement bias in the HICP
to be taken into account and creates a "safety margin," which helps ensure that negative rates of "true" inflation are avoided.
The annual average inflation, measured by HICP
, in the past 12 months (March 2014 - February 2015), as compared to the previous 12 months (March 2013 - February 2014), stood at -1.
inflation in 2014 has been supported by prices of goods consumed by tourists, while prices of goods consumed by locals have continued to fall and energy prices fell strongly as well in end-2014.
and International Labor Comparisons (ILC) Harmonized Indexes of Consumer Prices are measures of consumer price inflation that have been standardized across countries based on European Union definitions.
Using the EUs Harmonised Index of Consumer Prices or HICP
, which is the European Central Banks inflation yardstick, the cost of living in Germany rose by 2.
The April HICP
reading was lower than the headline inflation of 4.