South Korea Inflation Rate at 16-Month Low of 0.4%
Consumer prices in South Korea went up 0.4 percent year-on-year in August of 2016, slowing from a 0.7 percent rise in July and below market expectations of a 0.8 percent increase. The inflation slowed for the second consecutive month, reaching the lowest since April of 2015, due to a temporary cut in electricity tariffs.
Year-on-year, cost of electricity, water and gas slumped 12.6 percent, following a 3.9 percent drop in July; prices of industrial goods fell 0.5 percent, the same as in July and prices of services rose 1.9 percent, also the same as in the previous month. Cost of agricultural, livestock and fisheries products increased at a faster 1 percent (0.2 percent in July) and cost of fresh food grew 2.8 percent (-0.4 percent in July).
Core inflation eased to 1.1 percent from 1.6 percent in July, the lowest since December of 2012.
On a monthly basis, consumer prices declined 0.1 percent, the first drop in five months.
9/1/2016 12:56:13 AM