Singapore's September inflation moderated to 1.6%

Due to the decline in private road transport cost.

According to the Department of Statistics, CPI-All Items inflation eased to 1.6% in September from 2.0% in August, largely on account of the decline in private road transport cost.

Private road transport cost fell by 2.0% after rising marginally by 0.1% in August. The correction in car prices was due to the high base a year ago, and more than offset the increase in petrol pump prices.

Accommodation cost went up by 3.9%, slightly lower than the 4.2% rise in August. This largely reflected a smaller increase in market rentals for both private and HDB properties.

Services inflation was stable at 2.7%, as the stronger pickup in the cost of recreation & entertainment and holiday travel was offset by lower contributions from education and household services fees.

Food inflation was 2.4% in September, similar to the preceding month. While non-cooked food prices rose at a slightly faster pace compared to the increase a month earlier, the pickup in fast food meal prices was more modest.