Thailand: Inflation moderates again in February
Consumer prices in Thailand dropped 0.23% over the previous month in February, contrasting a 0.07% month-on-month increase in January. The drop in consumer prices was mainly driven by lower prices for food and non-alcoholic beverages and non-food and beverages, which offset a slight increase in prices for housing and furnishing.
Inflation moderated for the third consecutive month in February, moving further away from the Bank of Thailand’s 1.0%–4.0% target range. Inflation eased markedly from 0.7% in January to 0.4% in February; the result was notably below market expectations of 0.7%. Core inflation, meanwhile, was steady for the third consecutive month at 0.6%. As inflation proved elusive last year and at the beginning of this year, FocusEconomics Consensus forecast panelists do not foresee a rate hike when the Monetary Policy Committee meets again on 28 March. The earliest some panelists expects a rate hike is September 2018.