Inflation Q1 average seen at 4.2%; to ease later – think tank

Inflation is likely to average 4.2 percent in the first quarter of the year but will ease in the succeeding quarters as the agriculture and energy sectors may recover from the impact of recent calamities and bring consumer prices back to normal levels, a local think tank said.

First Metro Investment Corp. (FMIC) - University of Asia & Pacific (UA&P) Market Research in its newsletter The Market Call said supply constraints triggered by recent weather related production disruptions resulted in a slightly faster pace of inflation in January of 4.2 percent, compared with 4.1 percent recorded in December.