An Overview of Hong Kong’s Latest Composite CPI Statistics for August 2019
The latest Consumer Price Indices for August 2019 statistics was recently revealed and here’s a look at the Composite CPI.
The latest statistics was released by the Hong Kong Census and Statistics Department (S&SD) in September. Per the statistics, the Composite CPI and overall consumer prices were up by 3.5% in August. This was more than the corresponding increase of July’s 3.3% record.
The Composite CPI’s year-on-year increase rate, including the underlying rate of inflation, for August was 3.4%. This netted out the one-off relief measures by the Government. The increase was thanks in large part to higher pork prices and outbound and inbound transportation costs.
Seasonally Adjusted Basis
Records for the 3-month period which ended in August 2019 saw the following average Composite CPI monthly increase:
- Average increase monthly – 0.4%
- 3-month period ending July – 0.3%
- One-off Government relief measures (netted) – 0.4% and 0.3% increase
- Sub-index CPI(A) – 4.1% increase rate (year-on-year)
- Sub-index CPI (B) – 3.2% increase rate (year-on-year)
- Sub-index CPI (C) – 3.0% increase rate (year-on-year)
- Sub-index CPI(A) – 0.5% increase rate (seasonally adjusted)
- Sub-index CPI (B) – 0.4% increase rate (seasonally adjusted)
- Sub-index CPI (C) – 0.3% increase rate (seasonally adjusted)
Composite CPI Price Increase Components
For August 2019, the various components that contributed to the year-on-year increase were:
- Food (this does not include any means which were purchased away from home) – 14.2%
- Housing – 3.9%
- Transport – 2.9%
- Goods (miscellaneous) – 2.8%
- Meals purchased away from home – 2.1%
- Services (miscellaneous) – 1.3%
Decreases in the Composite CPI recorded for August 2019 were:
- Electricity, water and gas (-5.2%)
- Goods (durable) (-1.5%)
- Footwear and clothing (-0.6%)
The CPI for tobacco and alcoholic beverages remained unchanged.
Overall, for the first 8 months of 2019, the Composite CPI experienced a 2.8% rise compared to last year. The first three months ending August 2019 recorded a 3.3% rise in CPI compared to a year ago. As for the 12-months ending August 2019, the CPI was 2.7% higher on average compared to last year.
Amid the sluggish economy and modest inflation globally, economic growth is expected to contain overall levels of inflation. The higher prices for fresh pork might keep inflation levels on the higher side in the near term. Hong Kong’s government will continue its close monitoring of the inflation situation.
More details about the Composite CPI can be found here.