Inflation in Singapore

[lifeafter41]

If inflation in May 12 is 5% and June it is 5.3%. MAS are forecasting for 2012 to be in the range of 3.5 to 4.5%.
Anybody knows how have the figure comes about?. Shouldn't it be in the high 5% or more.

Any good way to beat inflation, assuming if a person has 200k in the bank, at 5% inflation in May 12, it would have become 190k, and if at 5.3% in June 12, would your initial 200k becomes, 179.93k by end June.

Is that the correct way of interpretation?. Or am wrong with the calculations.

 

[Leongsam]

Is that the correct way of interpretation?. Or am wrong with the calculations.

The inflation figures should be annualised.

 

[soIsee]

The inflation figures should be annualised.

Sinkland infaltion is moving too fast and cannot 'annalised err..I mean annualised. For blur fuck like TS, he thinks what MAS say is true but actual inflation from dec 2011 to July 2012 should be around 10% average but for rentals and transport, this could be around 20%.

As usual, Sinkie peasants are fooled and the only thing that they will feel, is when the inflation hits them hard later, when they discover that their money earned, cannot keep up with their money spent on essentials and non essentials.

Anyway, two years ago, I already know the trend, of where Sinkie are going to be, as of now today.

 

[lifeafter41]

The inflation figures should be annualised.

If it's annualised, I believe the figure would be higher.
It does not make sense with month on month comparision, as in this case. May 5%, June 5.3%.
Just for calculation sake, what would be the annualised inflation figures, if let's say, From Jan 2012 to Jun2012, Theorectical figures as follows:

Jan - 5.6%
Feb - 5.3%
Mar - 5%
Apr - 4.8%
May 5%
June - 5.3%

How does it affect's ones saving?

 

[Leongsam]

How does it affect's ones saving?

All inflation figures quoted are annualised so it appears that Singapore's inflation rate will be slightly higher than 5% based on current data to date.

If you want to know how it affects your savings, you can work things out in any number of ways using the calculators at

http://www.calculatorpro.com/financial/

Here is the inflation calculator.

http://www.calculatorpro.com/calculator/inflation-calculator/

Any financial portfolio needs to contain components that hedge inflation such as property and precious metals. However, these assets aren't very liquid and fluctuate in value over the short to medium term.

 

[lifeafter41]

All inflation figures quoted are annualised so it appears that Singapore's inflation rate will be slightly higher than 5% based on current data to date.

If you want to know how it affects your savings, you can work things out in any number of ways using the calculators at

http://www.calculatorpro.com/financial/

Here is the inflation calculator.

http://www.calculatorpro.com/calculator/inflation-calculator/

Any financial portfolio needs to contain components that hedge inflation such as property and precious metals. However, these assets aren't very liquid and fluctuate in value over the short to medium term.

My thought is property is a good consideration, more towards appreciation, while PM will be more towards preservation. What about equities and bond.

 

[Papsmearer]

whatever the govt. tells u, just multiply by 2 to arrive at the accurate number.

 

[Leongsam]

My thought is property is a good consideration, more towards appreciation, while PM will be more towards preservation. What about equities and bond.

Equities are not a good long term choice because there is no such thing as a "blue chip" company anymore. EG Apple shares are worth hundreds at the moment but 10 years down the road, they might be back at USD9.

Nokia was the most successful mobile phone manufacturer on the planet 5 years ago. Look at it now.

 

[Tension68]

Equities are not a good long term choice because there is no such thing as a "blue chip" company anymore. EG Apple shares are worth hundreds at the moment but 10 years down the road, they might be back at USD9.

Nokia was the most successful mobile phone manufacturer on the planet 5 years ago. Look at it now.

True.. it's also dangerous to believe ppl who tell you that there are visible trends in stocks or forex. IMHO there are NO visible trends, and in today's markets, you just don't know if anything said "trends" will continue, or suddenly reverse on you.

It's more like a gamble now.. and if you can't bet both ways.. you're liable to lose big.

 

[Fook Seng]

It's more like a gamble now.. and if you can't bet both ways.. you're liable to lose big.

if you bet both ways, you are guaranteed to lose. It is a gamble betting any other way.