Hong Kong: Inflation accelerates in September
October 21, 2011
In September, consumer prices rose 0.4% over the previous month, which contrasted the 2.0% drop recorded in August. The rise was caused by a sharp increase in prices of clothing and footwear as well as food. As a result, annual inflation inched up from 5.7% in August to 5.8% in September, which was above market expectations of a 5.4% increase. Annual average inflation rose from 4.2% in August to 4.5% in September. A government spokesman stated that ?inflation is likely to climb up further in the near term before peaking out, as the lagged effects from earlier surges in international food prices and market rentals continue to filter through.? In its August economic outlook, the government expects inflation to average 5.4% this year.