- As expected, inflation decelerated again in June. Food rose 2.6% mom and, together with other regulated services, was the main price driver during the month. After peaking at 57.3% in May, annual inflation slowed to 55.8%, the first drop in over a year.
- Although core inflation mirrored the general index and slowed to 2.7%, the latter rose 22.4% in the first half mainly due to core prices, which explained two thirds of the period´s price increase.
- Additionally, the government overachieved fiscal targets for the first half by ARS10b, while the IMF approved another USD5.4b disbursement. Hence, the period´s surplus totaled ARS30.2b, equal to 0.1% of GDP, in line with this year´s goal to attain budget balance. Additionally, the total fiscal result was negative by ARS287.2b (-1.3% of GDP), falling 24% yoy, despite rising capital expenditures and interests paid.