Quotes from Standard Chartered:
- Hong Kong will announce November inflation numbers on 23 December. We expect headline CPI inflation to come in at 4.2 pct y/y, down from 5.2 pct in October and 6.6 pct in September. The expected decline is due to the continued normalization of the base effect as the distortion from one-off government concessions fades. Our forecast of 4.2 pct is roughly in line with the average of 3.9 pct for the first eight months of 2014.
- We expect food and housing to remain the biggest contributors to inflation. Underlying CPI inflation, which excludes one-off government concessions, should remain subdued at around 3.4 pct, the same as October, reflecting modest economic growth and local political uncertainty.
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