Singapore’s consumer prices up 0.7% in September

The prices for retail items moderated while services and accommodation costs increased.

bg_train_366750221

Singapore’s consumer prices for September gained 0.7% from a year ago, in the same pace of increase as of the previous month, a joint statement from the Monetary Authority of Singapore (MAS) and Ministry of Trade and Industry (MTI) released on Tuesday showed.

Consumer Price Index (CPI) for all items last month saw a moderation in the prices of retail items but an increase in services and accommodation costs.

Singapore’s core inflation, which excludes accommodation and private road transport costs, increased by 1.8% year-on-year, easing from the 1.9% increase in August due to a moderation in prices of retail items.

The MAS and MTI expects headline inflation for this year to be at around 0.5%, before picking up to the range of 1%-2% for next year. Core inflation is expected to “rise modestly in the months ahead,” coming within the forecast expectations of 1.5%-2.0% for this year and 1.5%-2.5% in 2019.

For last month, the prices of retail items rose by 1.5%, easing from the 2.0% increase in August as there was a slower increase in the prices of clothing and footwear. Meanwhile, the prices of recreation and entertainment goods and telecommunication equipment fell.

Food prices were higher by 1.6%, compared to the 1.7% increase in August, as there was a slower increase in the prices of non-cooked food items.

Services costs increased by 1.4%, edging up from the 1.3% in August, led by an increase in education services fees and a slower fall in prices for telecommunication services.

Accommodation costs fell by 2.5%, moderating from the 2.6% decline in August, due to a slower fall in housing rental fees. Private road transport costs fell by 0.1%, lesser than the 0.2% fall in the previous month. The prices of motorcycles and scooters fell but petrol prices and Electronic Road Pricing (ERP) charges rose.

IGA, may distribute information/research produced by its respective foreign marketing partners within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

This information/research prepared by IGA or IG Group is intended for general circulation. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person. You should take into account your specific investment objectives, financial situation or particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. In addition to the disclaimer above, the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.

See important Research Disclaimer.

Find articles by writer

Find out more about