Financial Wire

Market Chatter: Taiwan's Inflation Under Control Despite Global Energy Price Hike

-- Taiwan's central bank said imported inflation remained under control despite rising global energy prices, Taipei Times reported Monday, citing the central bank's report to the Legislative Yuan.

The bank said appreciation of the New Taiwan dollar against the US dollar helped cushion the impact of higher import costs, limiting the rise in import prices in local currency terms even as they increased in US dollar terms, according to the report

However, it warned that the ongoing conflict in the Middle East has pushed up crude oil and commodity prices, posing upside risks to global inflation, the report said.

Consumer prices in Taiwan rose 1.23% annually in the first quarter, remaining below the central bank's 2% alert threshold, supported by government price stabilization measures. The bank said it would continue to monitor external risks and adjust monetary policy as needed, the newspaper reported.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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