Singapore's Oct CPI rises 6.4 pct yr/yr

SINGAPORE, Nov 24 - Singapore's annual inflation slowed to 6.4 percent in October, as expected, from 6.7 percent in September after a fall in oil prices.

From the previous month, the consumer price index (CPI) rose 0.8 percent after seasonal adjustments, the Department of Statistics said in a statement on Monday.

Economists said the central bank, which says it has no plans to loosen monetary policy before an April review, may wait until inflation eases to further loosen policy.

In September, annual inflation accelerated to 6.7 percent, and the CPI rose 0.1 percent from the previous month after seasonal adjustments.

Annual inflation in Singapore held at 7.5 percent in April, May and June, but analysts say inflation has peaked, partly as the effects of a 2-percentage-point rise in sales tax last year faded from annual calculations.

The unfolding financial crisis, which threatens to push the global economy into a recession, as well as sliding commodity prices, will also tame inflation.

The government said on Friday inflation will moderate sharply in 2009 to 1-2 percent, below a previous forecast of 2.5-3.5 percent.