Annual inflation in the OECD area fell to 1.5 % in the year to June 2010 compared with 2.0% in May amid a slowdown in energy price rises. Annual energy inflation slowed to 4.7% in June compared with 11.0% in May.

Excluding food and energy, the annual inflation rate held steady at 1.3 % in June for the third consecutive month. Food prices rose by 0.6% in the year to June 2010 compared with 0.5% in May.

Consumer prices, selected areas
June 2010, percentage change on the same month of the previous year



Deflation continued in Japan, albeit at a slower rate: consumer prices fell by 0.7% in the year to June, compared with a decline of 0.9% in May. Lower energy prices caused annual inflation to slow in all other G7 countries. Annual inflation in June was 1.1% in the United States, down from 2.0% in May. In Canada, consumer prices rose 1.0% in the year to June, compared with an annual 1.4% in May. In Germany, prices rose 0.9% in the year to June, down from an annual 1.2% in May. In France, annual inflation was 1.5% in June, down from 1.6% in May. Consumer prices rose an annual 1.3% in Italy, down from 1.4% in May. In the United Kingdom annual inflation was 3.2%, down from 3.3% the previous month. Euro area annual inflation (HICP) was 1.4% in June 2010 compared with 1.6% in May.

Compared with the previous month, consumer prices in the OECD area were stable in June, compared with a rise of 0.1 % in May. They rose by 0.2% in the United Kingdom, 0.1% in Germany, were stable in France, Italy and Japan and decreased by 0.1% in Canada and the United States.