Singapore inflation climbs to a near 1-year high as October price growth tops estimates

Singapore's ostentation complaint climbed for a 2nd consecutive month, twelvemonth connected year, with terms maturation successful October topping analysts' expectations.

After hitting a four-year debased successful August, user prices roseate 1.2%, compared with the mean 0.9% estimated by economists polled by Reuters and the 0.7% emergence successful September.

Core ostentation successful the city-state — which strips retired prices of accommodation and backstage transport — besides roseate to 1.2%, up from 0.4% and compared with the 0.7% expected successful the Reuters poll.

Inflation information comes arsenic Singapore connected Friday sharply upgraded its economical maturation forecast to 4% from 1.5%-2.5%, arsenic it posted robust third-quarter GDP numbers.

The system grew 4.2% successful the 3rd 4th from a twelvemonth earlier, beating estimates and extending the 2nd quarter's 4.7% expansion. Singapore's Ministry of Trade and Industry said that planetary economical conditions had turned retired much resilient than expected, but warned that maturation would apt chill successful 2026 arsenic U.S. tariffs measurement connected planetary demand.

Singapore's exports to the U.S. are subject to a 10% baseline tariff, contempt the state having a commercialized deficit with the U.S. and besides a escaped commercialized statement going backmost to 2004.

The country's system is hugely babelike connected trade, with World Bank data showing that Singapore has a trade-to-GDP ratio of implicit 320% successful 2024.

In the 3rd quarter, Singapore recorded a 3.3% fall successful non-oil home exports, oregon NODX, twelvemonth connected year, dragged by weaker pharmaceutical and petrochemical exports. In October though, NODX surged 22.2% compared to a twelvemonth earlier, driven by exports of non-monetary golden and physics products.

The Monetary Authority of Singapore has forecast ostentation astir 0.5% to 1% for 2025.

The MAS held monetary argumentation unchanged successful its October meeting, saying that Singapore's economical maturation had been stronger than expected.

—CNBC's Anniek Bao contributed to this report.

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