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Korea Inflation August 2018

Korea: Inflation slows to a five-month low in August

According to the National Statistics Office of Korea, consumer prices rose 0.5% over the previous month in August, up from the 0.2% rise in July. The increase was primarily due to higher prices for transport, and food and non-alcoholic beverages, which more than outweighed lower prices for housing, water, electricity, gas and other fuels.

Inflation dipped to 1.4% in August from 1.5% in July, representing a five-month low. This undershot market analysts’ expectations of 1.5% and left the rate once again below the Bank of Korea’s 2.0% target. Core inflation, which excludes fresh food and energy prices, remained steady at July’s 1.0%. Annual average inflation, meanwhile, ticked down from 1.6% in July to 1.5% in August.

Korea Inflation Forecast

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