Mubasher: The UAE inflation rose to 1.76% in June from 1.62% in May, MubasherTrade Research said according to the Federal Competitiveness & Statistics Authority.
Inflation of 'Housing, water, electricity and gas' basket, which is the highest weight in the index, fell to 2.78% in June from 3.48% in May.
'Food and soft drinks' inflation edged up to 0.97% YoY in June from 0.66% YoY in May, MubasherTrade Research added.
“Headline inflation recorded +0.47% MoM in June as 'food and soft drinks' monthly inflation surged from -0.96% in May to +1.07% MoM in June,” it said.
Domestic transportation prices recorded the first increase on an annual basis in 2016 to +0.22% YoY in June from -2.33% YoY in May, led by the recent rebound in oil prices.
“While the Ministry of Energy had set July fuel prices at a higher level, we do not expect a grave inflationary reaction in the following months as international oil prices stabilize,” MubasherTrade Research noted.
