S. Korea`s import prices rise for 4th month in July

SEOUL, Aug. 15 (Yonhap) -- South Korea's import prices grew for the fourth
straight month in July due to rising raw material costs, the central bank said
Sunday, indicating a build-up in inflationary pressure.
In local currency terms, import prices rose 7.5 percent in July from a year
earlier, easing from an 8 percent on-year gain in June, according to the Bank of
Korea (BOK).
The monthly slowdown came as the local currency's strength against the U.S.
dollar overshadowed an on-year gain in oil prices, the central bank said. Raw
material prices increased 17.4 percent on-year in July, picking up from a 14.8
percent increase in June.
Compared with the previous month, import prices fell 0.5 percent last month, a
turnaround from a 2 percent monthly gain in June, the BOK added.
The data came after the BOK froze its key interest rate on Thursday at 2.25
percent following July's surprise rate hike from 2 percent.
BOK Gov. Kim Choong-soo played down the impact of slowdowns in the U.S. economy
on the Korean economy and warned against rising inflationary pressure at home,
hinting that a potential rate hike is in the cards.
Meanwhile, export prices in Korean won terms rose 0.3 percent on-year in July,
slowing from a 1.5 percent on-year gain the previous month.
sooyeon@yna.co.kr
(END)