Inflation & Prices
Korean Inflation Slows More Than Expected as Energy Prices Ease
- Consumer prices climbed 5.7% in August, well below estimates
- Bank of Korea has been tightening monetary policy for a year
Shoppers browse for food items at a market in Seoul.
Photographer: Woohae Cho/BloombergThis article is for subscribers only.
South Korean inflation cooled more than expected in August as energy prices eased, reducing pressure on the central bank to deliver another outsized interest-rate increase in its yearlong tightening cycle.
Consumer prices advanced 5.7% from a year earlier, slowing from July’s pace of 6.3% and coming in below economists’ estimate of 6.1%, statistics office data showed Friday. From the prior month, prices actually fell 0.1% in August, the first decrease since late 2020.