South Korea’s CPI inflation at 11-month low in June

Annual consumer price inflation in South Korea has eased further, to 2.4% in June, from 2.7% in May, the latest data by Statistics Korea showed.

It has been the lowest CPI inflation rate since July 2023.

In comparison, market consensus had pointed to a reading of 2.7%.

In June, prices increased at a slower rate for housing, electricity, gas and water (1.2% YoY compared to 1.5% YoY in May), food and non-alcoholic beverages (3.8% YoY compared to 5.1% YoY in May), transport (3.8% YoY versus 3.9% YoY in May), health (1.8% YoY versus 2.5% YoY in May) and for recreation and culture (1.5% YoY versus 1.7% YoY in May).

At the same time, costs picked up for restaurants and hotels (3% YoY versus 2.9% YoY in May), clothing and footwear (2.6% YoY versus 2.5% YoY in May) and for education (3% YoY versus 2.9% YoY in May).

In monthly terms, consumer prices in the country went down 0.2% in June, after a 0.1% increase in May, the data showed.

The South Korean Won was 0.56% weaker on the day against the US Dollar, with the USD/KRW currency pair last trading at 1,388.87.