Hong Kong: Inflation jumps in June
July 22, 2019
Inflation accelerated to 3.3% in June from 2.8% in May. When accounting for the effects of one-off government relief measures, inflation came in at 3.2% in June, also up from 2.8% in May. The print was primarily driven by higher prices for food and housing.
For the April–June period, the average of the month-on-month variation in consumer prices was 0.5% in seasonally-adjusted terms, up from 0.3% in the three-month period ending in May.
Regarding the inflation outlook, a government spokesperson noted: “Looking ahead, while overall price pressures should remain largely contained in view of the earlier easing in fresh-letting residential rentals and modest global inflation, the inflation rate in the near term may hinge on the supply situation and thus prices of fresh pork.”
Author: Edward Gardner, Economist