South Korea Inflation Up to 8-Month High

South Korean annual inflation rate accelerated for the second straight month to 1.5 percent in April of 2014, up from 1.3 percent in March, driven by higher cost of industrial goods.
Statistics Korea | Joana Taborda | 5/1/2014 10:12:33 AM
Year-on-year, the main upward pressures came from prices of clothing and footwear (5.1 percent), miscellaneous goods and services (4.3 percent), housing, water, electricity and gas (3.1 percent) and furnishing, household equipment and routine maintenance (1.9 percent). Education prices increased 1.8 percent.

In contrast, transport cost fell 0.9 percent in the year to April; prices of food and non-alcoholic beverages fell 0.3 percent and communication cost showed no change.

On a monthly basis, consumer prices slowed for the third consecutive month to 0.1 percent from 0.2 percent in March. The index for recreation and culture went up 1.3 percent in April. The index for housing, water, electricity, gas and other fuels, communication, restaurants and hotels and miscellaneous goods and services increased 0.1 percent respectively.

The index for food and non-alcoholic beverages, furnishings, household equipment & routine maintenance, health and transport decreased 0.1 percent, 0.4 percent, 0.1 percent and 0.2 percent respectively in April from March.

Core inflation, which strips out the volatile cost of food and oil, accelerated to 2.3 percent on year, up from 2.1 percent in the previous month.

South Korea Inflation Up to 8-Month High