Philippine December inflation eases to 16-mth low

[MANILA] Philippine annual inflation eased for a fourth straight month in December to a 16-month low due to lower oil prices, the statistics agency said on Tuesday, giving the central bank room to leave interest rates on hold.

The consumer price index was up 2.7 per cent last month, its slowest rise since August 2013 and below the 3.0 per cent forecast by economists in a Reuters poll.

Core inflation, which takes out volatile items, was 2.3 per cent versus the previous year against a forecast of 2.6 per cent in the Reuters poll.

The central bank had expected annual inflation in December to be at 2.4-3.2 per cent.

REUTERS