asia-invest.info

Today the National Statistics Office released the Construction Material Wholesale Price Index (CMWPI) in the National Capital Region (NCR).

Compared to the previous year construction materials rose by 13.5% in June 2008. Prices for fuels and lubricants gained 41.5%, structural steel by 31.1%, reinforcing steel by 28.1% and hardware by 21.4%. 

Compared to the previous month construction materials rose by 4.7% in June 2008. Prices for Aluminium and other metall products climbed by 19.1%, structural steel by 14.3%, fuels and lubricants by 12.6% compared to May 2008.

Today the indonesian central bank Bank Indonesia realeased the consumer confidence index (CCI) for June 2008.

Consumer confidence index was reported at 79.1, down from 82.4 in May 2008. This is the lowest level since October 2005. In June 2007 the consumer confidence index was still at 95.8. Regionally consumers in DKI Jakarta (68.1), Denpasar (67.1) and Surabaya (63.3) were most pessimistic, while consumers in Makassar (110.2), Samarinda (97.3) and Pontianak were most optimistic in Indonesia.

This survey shows a gloomy future for Indonesia especially after new car sales rose by 39% and Toyota Astra, the market leader in Indonesia, sold 41% more cars in June 2008. Southeast Asia’s largest economy depends heavily on consumer spending. But after inflation reached double digit rates and the third straight key interest rate increase in three months consumers worry about their future.

Consumer Survey-Bank Indonesia (CS-BI) is a monthly survey that has been conducted since October 1999. By significance level of 99%, the sample has sampling error of 2%. Balance Score Method (net balance + 100) has been adopted to construct the index, whenever the index is above 100 points indicates an optimism (positive responses) and vice versa.

Today the National Statistics Office released the latest consumer price index (CPI) in Manila.

The year-on-year inflation jumped to 11.4% in June 2008 compared to 9.5% in May 2008. This is the highest inflation rate since May 1994 when inflation reached 11.5%. While the annual inflation rate rose to 9.2% in the National Capital Region (NCR), prices in Areas Outside the National Capital Region (AONCR) even accelerated by 12.3% in June 2008.

Excluding selected food and energy items, core inflation increased to 6.6% in June compared to 6.2% in May 2008. Prices for food, beverages and tobacco (FBT) rose by 16.5%, while services increased by 9.9% and fuel, light and water (FLW) increased by 7.6%

On June 5th, Bangko Sentral ng Pilipinas (BSP) raised its key interest rate by 25 basis points to curb inflation and to support the Philippine Peso, who lost more than 17% against the Euro and nearly 10% against the US Dollar.

On July 17th, the Philippine central bank, Bangko Sentral ng Pilipinas (BSP), will hold its next regular monetary policy meeting.

Today the National Statistics Office (Badan Pusat Statistik) reported that consumer prices rose at 11.03% in June 2008. In May 2008 the Indonesian Government increased fuel prices dramatically pushing consumer prices by 10.4%.

Dr. Rusman Heriawan, Director General of BPS presented the latest figures in Jakarta. Starting with June 2008, CPI will be based on a consumption pattern obtained from 2007 Cost of Living Survey in 66 cities (2007=100). Without this modification inflation would have been reported at 12.8% for June 2008.

Especially poor people were hurt by higher food and fuel prices. In Indonesia more than 15% of the population live on less than USD 20.- a month.

The increase in consumer prices make it more likely that Bank Indonesia will increase key interest rates at the next meeting on July 3rd, 2008 to fight inflation.