Japan's record deflation continued apace in the month of August as the core index of consumer prices slipped 2.4% in the sixth consecutive monthly drop.
French consumer prices fell by 0.5 percent in June, according to official data released Thursday. This marks a deflationary step for the second month running, but shows a monthly rise of 0.1 percent for the past year.
French statistics institute INSEE has announced that consumer prices increased by 0.2% in April and rose by only 0.1% on a year-to-year basis. French inflation is now at its lowest level since 1957.
According to official figures, consumer prices in China continued to fall in April for the third consecutive month. The index is now down 1.5% from a year ago, confirming fears of deflation amid an ongoing downturn.
US consumer prices fell 0.1 percent in March from the previous month and declined 0.4 percent from a year ago, the first annual drop in 54 years.The decrease was due to a downturn in energy prices, particularly gasoline prices.
The price of oil has fallen from a record high of nearly $150 a barrel to less than half the price. In the short term this is good for consumers, but what are the long term consequences in the context of the emerging global recession?
In a couple of days, OPEC will decide whether to cut oil production. Meanwhile crude prices on the New York market were down to 66.20 during the day, a price-low that was last reached in June 2007.
Oil prices have tumbled amid fears of recession and the global financial crisis. The price of a barrel slid to 72.15 dollars in New York on Wednesday, while Brent North Sea crude dropped below the 70-dollar level for the first time since June 2007.
