Taiwan: Drop in consumer prices moderates in February
March 9, 2015
Consumer prices in February increased 0.36% over the previous month, which contrasted January’s 1.23% fall. According to the Directorate-General of Budget, Accounting & Statistics (DGBAS), the reading mainly reflected increases in the prices for nursery and nursing care, tour fees and taxi fess, partly due to the lunar new year holidays.
Annual consumer prices fell 0.2% in February, which was up from January’s 0.9% decrease. January’s fall had marked the largest drop in consumer prices since November 2009. The decrease was unexpected as market analysts had predicted a gain of 0.2%. As a result, annual average inflation fell from January’s 1.1% to 1.0% in February.
Core consumer prices, which strip out prices for electricity and fresh food, rose 0.84% in February over the previous month, contrasted to January’s 0.03% drop. Annual core inflation rose from January’s 0.6%, which had marked the lowest reading in almost one-year, to 1.8% in February.