released Malaysia's August 2022 CPI numbers, but strangely the headline they put January - August 2022 at 3.1% rather than the usual format Aug 2022 at 4.7% YoY.
They did it last month for July 2022's when it was 4.4% YoY.
From this ---------------> to this
So it's a little confusing, they should probably try to be consistent, but at least the numbers are accurate and all there.
Inflation at 4.7%
, but as always, digging deeper finds:
- Restaurants & hotels
Things we buy everyday.
I did predict inflation to remain high till October due to the base effect (last year had slight dips in CPI in Q3), so we have to hang in there for a few more months.
What's next though?
- 'strong' Q2 GDP at 8.9%
- sustained high inflation at >4%, and
- weakening RM due to other central banks upping rates too. USDMYR = 4.57
So BNM are 'locked-in' to a 5th increase in 2022, at the meeting on 2-3 Nov.
How much? Probably another +25bps to 2.75%.
Remember, +25 bps is an extra ~RM35 / month for each RM250,000 of floating loan principal.
+ RM35 / month if your loan principal is RM250,000
+ RM70 / month if your loan principal is RM500,000
Folks who have read my tweets for the past 6 months have already been prepped for this!
So if you liked this thread, do follow me @Hann Liew, CFP, CFA
, I'm a finance nerd who tweets 1-2x per week on Malaysia's
numbers and how it affects your money.