Consumer prices in the OECD area rose by 1.9% in the year to October 2010, up from 1.7% in September. The uptick was partly driven by strong rises in Japan, where annual inflation was positive for the first time in twenty months, and Canada, where consumer prices rose at their fastest rate since October 2008.

Energy and food price growth also drove the pick-up in inflation. Energy prices rose by 6.6% in October compared with 5.2% growth seen in September, while food prices were up 2.6%, versus 2.3% the previous month.

Excluding food and energy, consumer prices rose by 1.1% in the year to October 2010, slightly down from 1.2% in September.

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



Inflation rose in several leading G7 countries in the year to October. Consumer prices rose by 3.2% in the United Kingdom (up from 3.1% in September), 2.4% in Canada (up from 1.9%), 1.7% in Italy (up from 1.6%), 1.2% in the United States (up from 1.1%) and 0.2% in Japan (up from -0.6%). Inflation remainedstable in France and in Germany at 1.6% and 1.3% respectively. Euro area annual inflation (HICP) was 1.9% in October, up from 1.8% in September.

Consumer prices in the OECD area rose by 0.3% in October when compared with the previous month. They rose by 0.4% in Japan and in Canada, 0.3% in the United Kingdom, 0.2% in Italy and 0.1% in France, Germany, and the United States.