Oil Shock Pushes Thailand’s Inflation Toward Positive Territory

Thailand's yearlong stretch of falling prices is ending as higher oil costs and Middle East supply disruptions begin feeding through to inflation. The shift from deflation to rising prices is a modest headwind for consumers and could pressure Thai monetary policy and FX markets if upward price momentum persists.

Analysis

Thailand's yearlong stretch of falling prices is ending as higher oil costs and Middle East supply disruptions begin feeding through to inflation. The shift from deflation to rising prices is a modest headwind for consumers and could pressure Thai monetary policy and FX markets if upward price momentum persists.