The Bank of Korea said it expects inflation this year to come in above its upward revision of just a week ago as consumer price gains exceeded all estimates in November, accelerating to the fastest pace since 2011.
Consumer prices rose 3.7% from a year earlier, the statistics office said Thursday, compared with a median forecast of 3.1%. That extended the run of gains above the Bank of Korea’s 2% target to an eighth straight month, validating the central bank’s two interest-rate increases since August and suggesting further tightening ahead.
