MANILA, Philippines – Headline inflation may have cooled in June, but underlying indicators still signal that price pressures are spreading through the economy, Deutsche Bank said, as it maintained a hawkish outlook on Philippine monetary policy.
In a note to clients, the German lender said core inflation—which excludes volatile food and energy items to better capture underlying inflation trends—accelerated to 4.4 percent in June, the fastest pace in nearly three years. This was despite the headline rate easing to 6.4 percent last month.
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That suggested “the process of broadening price pressures is still under way,” Deutsche Bank said.FEATURED STORIES
