Prices in the high exchange rate 'Wiggle'...Producer prices rise for second month

The producer price index has risen for a second month amid a high exchange rate trend, raising caution in price management.

The producer price index rose 0.3% month-on-month in December last year, marking the second straight month of gains since 0.1% in November last year, according to the Bank of Korea.

The producer price index was negative for three months from August to October last year, but the increase has been growing since November.

Domestic supplies, which combine producer and import prices, also rose 0.1% in October last year, 0.6% in November and 0.6% in December, the data showed.

Rising producer prices and domestic supply prices are reflected in consumer prices with a slight lag, which could worsen the rate of increase in consumer prices.