Will the lull on consumer sentiment affect Singapore's inflation?

Slow moving labour conditions may curb demand-pull inflation.

The According to the economists from RHB, the uptick in consumer sentiment in July is suspected to be only temporary.

"Slow moving labour conditions may curb a demand-pull inflation in the coming months," it said.

However, the upward revisions to car park charges and household refuse collection fees as well as higher water tariffs would add to domestic inflationary pressures.

More so, the resilient exports, and overall higher crude oil prices may also support prices.

"Overall, we maintain our projection for CPI to rise 1.2% in 2017, compared to -0.5% for each of the last two years," RHB said.

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