Singapore Consumer Prices Fall for 13th Straight Month
Singapore consumer prices dropped by 0.8 percent year-on-year in November of 2015, the same pace as in the preceding month but below market consensus. It is the 13th consecutive month of a decline, due to a slowdown in prices of of food while cost of housing, utilities and transport declined slightly less.
12/23/2015 8:55:42 AM
Year-on-year, downward prices pressure came from: housing & utilities (-4.2 percent in November from -4.3 percent in October, largely due to a 12.7 percent drop in fuel & utilities and a 3.0 percent fall in accommodation) and household durables & services (-1.3 percent from -1.6 percent, mainly due to a 2.2 percent decline in household services & supplies). Cost also dropped for transport (-1.1 percent from -1.7 percent, due to a 1.7 percent decline in private road transport and a 4.0 percent fall in other travel & transport), health care (-0.5 percent from +0.6 percent, mainly due to a 0.9 percent drop in medical & dental treatment), communication (-0.9 percent from -0.6 percent) and miscellaneous goods & services (-0.5 percent from -0.5 percent, due to a 0.7 percent drop in personal care, a 0.6 percent decline in alcoholic drinks & tobacco and a 1.0 percent fall in personal effects). In contrast, upward prices pressures came from: clothing & footwear (+1.4 percent from +1.0 percent); recreation & culture (+0.8 percent from +0.4 percent, mainly due to a 0.9 percent increase in recreation & entertainment and a 0.8 percent rise in holiday expenses). Prices remained steady for education (+3.7 percent).
Prices of food rose 1.6 percent in November, slowing from 1.8 percent rise in a month earlier. Among food, cost of food excluding food servicing services increased by 0.4 percent, following a 0.9 percent rise in the preceding month while food servicing services rose 2.3 percent, after a 2.4 percent rise in October. Among food excluding food servicing services, prices increased for bread & cereals (+1.0 percent); meat (+0.6 percent); fish & seafood (+0.5 percent); milk, cheese & eggs (+1.2 percent); fruits (+0.6 percent); sugar, preserves & confectionery (+1.2 percent); non-alcoholic beverages (+0.1 percent) and other food (+0.8 percent). In contrast, prices declined for oils & fats (-2.9 percent) and vegetables (-1.4 percent). Among food servicing services, while prices of catered food declined by 0.2 percent, prices increased for other components: restaurant foods (+3.4 percent), fast food (+1.3 percent) and hawker food including food courts (+1.8 percent).
Core inflation, which excludes costs of accommodation and private road transport, rose 0.2 percent year-on-year, as compared to a 0.3 percent rise in October.
On a month-on-month basis, consumer prices rose 0.2 percent in November, following a 0.4 percent drop in October. Prices increased the most for: housing & utilities (+1.1 percent) followed by clothing & footwear (+0.5 percent) and household durables & services (+0.2 percent). In contrast, prices declined for: health care (-1.2 percent), communication (-0.3 percent) and miscellaneous goods & services (-0.5 percent). Prices remained unchanged for food and education.
Considering the first eleven months of 2015, consumer prices fell by 0.5 percent.