Hong Kong Inflation Rate Edges Up to 1.2%

The annual inflation rate in Hong Kong edged up to 1.2% in May 2024, holding close to an almost three-year low of 1.1% in the previous month and compared to market estimates of 1.3%.

Inflation rose for food (1.9% vs 1.8% in April), housing (1.1% vs 1%), clothing & footwear (1.1% vs 0.6%), miscellaneous goods (1.2% vs 1.1%), and transport (2.3% vs 1.8%).

In contrast, prices eased for alcoholic drinks & tobacco (20.1% vs 20.8%), and unchanged for miscellaneous services (2.2%), while costs continued to decline for electricity, gas (-10.9% vs -9.3%), and durable goods (-0.9% vs -0.8%).

The underlying inflation rate ticked up to 1% from 0.9% in the prior period.

On a monthly basis, the CPI fell 0.2%, moderating from a 0.7% drop in April.