Inflation likely eased further in May

Headline inflation likely eased further in May, with the Bangko Sentral ng Pilipinas (BSP) projecting the headline rate settling within the range of 0.9 to 1.7 percent on the back of improving supply conditions and lower energy costs.

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In a statement, the central bank said easing prices of rice and fish due to favorable domestic supply, coupled with lower oil prices, electricity rates and the recent appreciation of the peso, contributed to downward price pressures during the month.

"These could be offset in part by higher prices of selected food items such as vegetables and meat," the BSP said.

The May print will mark either a slowdown or a pick up from the 1.4 percent inflation recorded in April. It will also mark the third straight month that inflation is below the two to four percent target range of the BSP.

The Philippine Statistics Authority is set to release the official inflation data on June 5.

The BSP said it remains committed to maintaining price stability that supports economic growth.