WHEN: Wednesday, May 19, 0900 GMT
REUTERS FORECAST:
- Median +1.6 pct yr on yr vs +1.3 pct in March. Forecast range of 13 economists was 1.4 to 2.0 percent.
FACTORS TO WATCH: Annual consumer price inflation is likely to have risen to 1.6 percent in March, its highest in 11 months and the fourth consecutive month of positive numbers.
The central bank, which forecast inflation at 2-2.5 percent for 2010, has repeatedly said inflation will remain moderate this year despite a recovering economy. The economy grew a stronger-than-expected 10.1 percent in the first quarter from a year earlier, its strongest in 10 years.
MARKET IMPACT: Markets are unlikely to react to the data. Inflation is not a concern for the central bank, which raised rates by 25 basis points on May 13, the second rate hike this year, as a means of normalising policy put in place during the crisis.
The central bank next meets in July to decide on monetary policy.
Forecasts:
April CPI
(pct change vs yr ago)
TA Securities 1.4
Bank Islam 1.5
OSK-DMG 1.5
Standard Chartered 1.5
CIMB 1.6
ING 1.6
Action Economics 1.6
Kenanga 1.6
DBS 1.6
Forecast 1.7
UOB 1.7
Citibank 1.7
Maybank 2.0
Median1.6 March 1.3 February 1.2
(Reporting by Royce Cheah; Editing by Kazunori Takada) Keywords: MALAYSIA ECONOMY/INFLATION (royce.cheah@thomsonreuters.com; +603 2333 8040; Reuters Messaging; royce.cheah.reuters.com@reuters.net; bureau email: areuters@gmail.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
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