FX.co ★ Singapore Producer Prices Decline 5.7% In August

In August, Singapore experienced a decline in producer prices for the first time in nine months, according to the Department of Statistics' latest data released on Thursday.

The Manufacturing Producer Price Index (PPI) saw a year-on-year decrease of 5.7 percent in August, following a slight increase of 0.2 percent in July. The oil index significantly dropped by 19.9 percent annually, driven predominantly by the machinery and transport equipment sector, due to reduced prices in electrical machinery apparatus, and followed by miscellaneous manufactured articles, chemicals, and chemical products. In comparison, the non-oil index fell at a slower rate of 2.7 percent.

Domestic supply prices in June were noted to be 3.0 percent lower than the same month last year, contrasting with a 1.8 percent rise observed in the previous month.

On a month-to-month basis, producer prices declined by 3.3 percent in August, continuing the downward trend from a 2.6 percent reduction in July.

Additionally, the import price index fell by 4.0 percent over the year, following a 0.4 percent decrease from the prior month, marking a consistent decline since January.

The data further revealed that export prices dropped by 6.6 percent annually in August after a minor dip of 0.1 percent in the previous month. The oil index plummeted by 16.4 percent, while the non-oil index decreased by 4.0 percent.