South Korea August Inflation Seen Rising Above 3% to 3.3%

According to Jin10, the median forecast of 13 economists surveyed by The Wall Street Journal showed South Korea's August CPI is expected to rise 3.3% from a year earlier, above July's 2.8%, while month-on-month CPI is expected to increase 0.4%. Deutsche Bank analysts said higher cost pressures are still being passed through to end prices, while improving income conditions are further adding to demand-side inflation pressure. The Bank of Korea previously said part of the August acceleration in inflation was due to base effects, as local mobile carriers offered discounts on communication fees in the same period last year, which pushed down prices at the time. South Korea's August CPI data will be released on Wednesday.