Inflation slows to 3.1% in October

Food products rose sharply at 13.3% due to elevated pork prices.

Overall consumer prices rose 3.1% MoM and YoY in October, according to data from the Census and Statistics Department (C&SD). It rose marginally slower than the 3.2% YoY in September.

The smaller inflation was mainly attributed to the smaller growth in private housing rentals and prices of fresh fruit. Still, food products posted the steepest rise in prices at 13.3% YoY from elevated pork prices, followed by miscellaneous good at 3.4% and housing at 3.1%.

Inflation is expected to stay “somewhat elevated” in the near term due to the supply situation of fresh pork, a government spokesperson commented.

On a yearly basis, prices for miscellaneous services grew 3.4%, whilst those of meals bought away from home and transport climbed 2.1%.

On the other hand, electricity, gas and water saw the sharpest decline in prices at 5.8% YoY, followed by clothing and footwear at 3.5%, durable goods 1.7%. Prices of alcoholic drinks and tobacco dippe 0.6%.

For 10M 2019, Composite CPI rose 2.9% YoY. The inflation rate was at 3.3% YoY for the three months ending October and 2.8% for the 12 months ending the same month.

On a seasonally adjusted basis, the average monthly rate of increase in the Composite CPI for the three-month period ending October 2019 was 0.2%, the same as that for the three-month period ending September 2019.