Oh Dear! Argentines inflation expectations for the next 12 months in July climbed to 35.7%

Argentines inflation expectations for the next 12 months in July climbed to 35.7%

Argentines inflation expectation for the next twelve months climbed in July to 35.7% from 34.9% in June according to the latest report form the Di Tella University Finance research centre (UTDT).

In the lower income bracket the expectation is even higher

This is the fifth month running that inflation expectation is above 30%, although there are some slight variations to that perception: while in Buenos Aires City it stands at 36%, in metropolitan Buenos Aires it is 35% and in the rest of Argentina climbs to 37%.

According to the replies from the interviews for the poll, for sectors with lower purchasing power the inflation rate expectation is 37.9% while on the opposite, the high income bracket the rate is 34.9%, said Guido Sanleris head of the UTDT research centre.

The official inflation for the last twelve months according to the government’s stats office, Indec, in June was 9.9%, but private estimates, an average of which is released by the Freedom of Expression committee from Congress indicated 23.9%.

The new salary contracts in Argentina are discussed from private inflation ratings and estimates since there are suspicions the official data from Indec is manipulated. A suspicion shared by the Argentine Judiciary and multilateral organizations such as the IMF and the World Bank.

The inflation expectations public opinion poll was done by consultants Poliarquía between July 2 and 10, and included 1.205 interviews covering the whole of Argentina.