South Korea Inflation Rate at 4-Month Low In May


Consumer prices in South Korea increased 0.8 percent year-on-year in May of 2016, compared to 1.0 rise in the previous month and below market expectations of 0.9 percent. It is the lowest reading since January, as prices of food rose at a slower pace while cost of housing and utilities edged up. Core inflation was recorded at 1.6 percent, down from 1.8 percent in the previous month. On a monthly basis, consumer prices were flat.

Year-on-year, prices rose at a slower pace for: food and non-alcoholic beverages (+0.8 percent in May from +3.4 percent in April), clothing & footwear (+2.2 percent from +2.3 percent); furnishing, household equipment & routine maintenance (+0.7 percent from +1.8 percent) while accelerated for housing, water, electricity, gas and other fuels (+0.2 percent from -0.2 percent) and recreation and culture (+1.6 percent from +0.6 percent). While the growth was steady for alcoholic beverages and tobacco (+0.7 percent), health (+1.1 percent), education (+1.6 percent), restaurants and hotels (+2.4 percent) and miscellaneous goods and services (+1.4 percent). In contrast, cost declined for transport (-3.0 percent from -3.0 percent). 

Core inflation rate was recorded at 1.6 percent from a year earlier in April, as compared to 1.8 percent in the previous month.

On a monthly basis,  consumer prices were flat, following a 0.1 percent increase in April and below market consensus.

South Korea Inflation Rate at 4-Month Low In May


Statistics Korea l Yekaterina Guchshina | yekaterina@tradingeconomics.com
6/1/2016 1:02:36 AM