Standard Chartered Expects May Headline Inflation To Ease

KUALA LUMPUR, June 19 (Bernama) --Standard Chartered research expects headline inflation to ease slightly to 3.9 per cent in May this year, from 4.4 per cent in the previous month.

In a statement today, it said food inflation may have remained as a significant contributor to the headline Consumer Price Index (CPI) inflation.

Transport inflation likely moderated from the previous month as domestic fuel prices fell 5.2 per cent month-on-month, but remained a significant contributor to headline CPI inflation on a year-on-year basis, it said.

"We expect the central bank to maintain its rhetoric on core inflation and growth, while looking beyond the recent increase in headline CPI which has been driven by administrative and supply measures," it added.

The Department of Statistics will be releasing the May CPI data on June 21.