Yesterday, the full-month CPI report for October was published. Headline CPI accelerated to 6.3% YoY last month, from 6.1% YoY in September, surpassing both our (6.2%) and the Bloomberg consensus expectations (6.1%). The pick-up in vegetables inflation on the back of the harvest season being disrupted by flooding was the main culprit, explaining the entire 0.2pp acceleration in the headline. Surging prices for eggs (29.3% YoY) and dairy products (11.6% YoY) did not help either, but this was partly offset by disinflation across other food items (such as meat and bread).
Meanwhile, Rosstat’s and our core inflation measures remained at 5.5% YoY and 4.5% YoY, respectively.