SEOUL, April 21 (Yonhap) — South Korea’s producer prices gained 0.9 percent on-month in March due to a modest rise in oil prices, extending their monthly gains for the fifth straight month, central bank data showed Wednesday.
The producer price index, a barometer of future consumer inflation, stood at 106.85 in March, compared with 105.91 a month earlier, according to the Bank of Korea (BOK).
The index advanced 3.9 percent from the previous year, the BOK data showed.
The prices of agricultural goods fell 2.1 percent on-month in March, and the prices of livestock and fishery goods rose 1.3 percent and 3.4 percent, respectively, from the previous month, the BOK said.
The prices of coal and petroleum products reported a 9.7 percent on-month gain last month.
South Korea’s inflationary pressure has remained weak due mainly to low oil prices and the COVID-19 pandemic.
Consumer prices climbed 1.5 percent on-year in March on a rise in prices of farm goods. But they are still below the BOK’s 2 percent inflation target over the medium term.
This month, the BOK froze the key interest rate at a record low of 0.5 percent after cutting a total of 75 basis points last year amid the virus outbreak.