Singapore: Another CPI miss reinforces MAS policy hold call: Benign core CPI reflects broad-based inflation stability

Research evidence excerpt

Singapore: Another CPI miss reinforces MAS policy hold call: Benign core CPI reflects broad-based inflation stability

J P M O R G A N Asia Pacific Economic Research

23 June 2026

Singapore: Another CPI miss

reinforces MAS policy hold call

Benign core CPI reflects broad-based inflation stability

Core inflation undershoots expectations … Singapore’s May core inflation Economic Research

came in significantly below expectations, holding steady at 1.4%oya against our Siddharth Jamad

and consensus expectations for an acceleration to 1.7%oya and 1.6%oya, (65) 6807-5503

respectively. Year-ago headline inflation similarly undershot expectations, siddharth.jamad@jpmorgan.com

remaining stable at 1.8%oya (J.P. Morgan and consensus: 2%oya). On a sequential JPMorgan Chase Bank, N.A., Singapore Branch

basis, headline CPI was flat on the month, while core ticked up a benign 0.1%m/m,

sa – similar to April (Table 1). Accordingly, while core CPI momentum edged up

further on a 3m/3m basis, it remained benign at 1.7%ar, with the higher headline

CPI momentum (3.7%ar) narrowly reflecting higher fuel prices which have also

since stabilized (Figures 1 and 2).

… reflecting broad-based inflation stability: Both core goods and services

prices posted benign 0.1%m/m, sa gains last month, with the latter’s 3m/3m

momentum sliding back down from 1.5%ar to 1.1%ar (Figure 3). In turn, softness

in both goods and services inflation was also broad-based across different

products. Within the goods basket, food prices eased in May (-0.6%m/m, sa) after

firming up over March-April, but prices for retail and other goods such as furniture

and clothing also eased or posted more modest price gains compared to March/

April (Figure 4).

Within the services basket, ICT services prices fell another 2%m/m, shaving 8bp