Singapore May inflation rate seen at 6-month high: poll

Singapore's annual consumer inflation rate probably accelerated to a six-month high in May, a Reuters poll showed on Thursday, due partly to higher transport costs and a low base in a year earlier.

The median forecast of 10 economists in a Reuters poll forecast the consumer price index (CPI) in May rose 2.6% from a year earlier, matching a pace last seen in November and accelerating from a 2.5% increase in April.

The Monetary Authority of Singapore's (MAS) core inflation measure in May was forecast to have climbed 2.2% from a year earlier, slightly easing from a 2.3% in April.

The central bank's core inflation measure excludes changes in the price of cars and accommodation, which are influenced more by government policies.

In April, Singapore's central bank maintained its tight monetary policy stance of allowing a "modest and gradual" appreciation of the Singapore dollar, saying core inflation will be elevated due to wage cost pressures from a tight labour market.

The MAS trimmed its headline inflation forecast for 2014 to 1.5-2.5% from 2-3%, but kept its core inflation forecast unchanged at 2-3%.