Austria Inflation Slows In August

Austria's consumer price inflation eased in August, data from Statistics Austria showed on Thursday.

The consumer price index rose 1.4 percent year-on-year in August, after a 1.7 percent increase July.

"The main reason for the drop in inflation compared to the previous month was the price trend in clothing," Statistics Austria General Director Tobias Thomas said.

"After the summer sales in July were much weaker than in previous years, a more dynamic wave of sales followed in August."

Consequently, fashion was significantly cheaper in August compared to the previous year, the official added.

The statistical office said measures to contain COVID-19 continued to mainly affect the travel and entertainment sectors and had a marginal impact on the calculation of the August inflation rate.

Housing, water, energy prices grew 2.3 percent annually in August and prices for restaurants and hotels gained 3.2 percent.

Prices for food and non-alcoholic beverages increased 2.4 percent and those of clothing and footwear rose 1.3 percent.

Meanwhile, prices for transport fell 2.2 percent.

On a monthly basis, consumer prices fell 0.2 percent in August.

The EU measure of inflation, which is the harmonized index of consumer prices, rose 1.4 percent year-on-year in August, after a 1.8 percent increase in the prior month.

On a month-on-month basis, the HICP fell 0.3 percent in August.