South Korea inflation at 2.8% in July, 0.2% monthly drop
South Korea's inflation cooled to 2.8% in July, its lowest in three months and a bit better than what experts predicted.
Prices actually dropped by 0.2% compared to June, the first monthly fall in eight months, which means everyday costs eased up a little for now.
South Korea fuel eases inflation
The main reason? Cheaper fuel: petroleum prices fell by 5.5%, helped by lower global oil prices and government fuel price caps, which gave households some relief.
But there's a heads-up from Vice Finance Minister Lee Hyoung-il: things could heat up again soon due to ongoing global tensions, and the finance ministry warned that last year's mobile phone fee cuts could make August inflation look higher (by about 0.8% points).
For now, the central bank raised interest rates last month and did not rule out further tightening to keep inflation in check.