Argentina's Inflation Eases to 1.7% in August, Lowest Since May

Argentina's monthly inflation rate eased to 1.7% in August, official data released on Thursday showed, extending a run of softer price readings under libertarian President Javier Milei.

The figure, reported by national statistics agency INDEC, matched analyst expectations and marked the lowest monthly increase since May 2025, when consumer prices rose 1.5%.

Annual inflation also moderated, slipping to 33.5% in August from 33.8% in July. That reading came in close to analyst forecasts.

Housing, water, electricity, gas and other fuels recorded the steepest monthly gain at 2.8%, followed by education at 2.5%. Food and non-alcoholic beverages, the largest component of the index, rose 1.7%.

Analysts had anticipated that softer food inflation would help drive the monthly slowdown, offering some relief to households. The trend, however, may add to pressure on companies already grappling with weak demand.

Looking ahead, analysts surveyed by Argentina's central bank expect inflation to end the year at 30%, with the economy growing 2.1%.