S Korea's consumer confidence rises in May

South Korea's consumer sentiment index (CSI) rose to 104 in May, up from 100 the previous month, the Bank of Korea (BOK) said in a monthly report Thursday.

The May figure, calculated on a poll of 2,047 households in 56 major cities, increased for the second consecutive month after falling below the benchmark 100 in March.

The CSI gauges domestic consumers' overall economic outlook. A reading below 100 means pessimists outnumber optimists.

Inflation expectation, an approximate gauge of consumers' expectations on inflation over the next 12 months, came in at an annual average of 3.9 percent in May, down 0.1 percentage point from the previous month, the BOK said.

South Korea's consumer prices rose 4.2 percent in April from a year earlier, slowing from a 4.7 percent advance in March. The BOK unexpectedly froze the key policy rate at three percent at the May rate-setting meeting.

Sub-indices gained ground. Consumer sentiment on living standards increased three points on-month to 88 in May, with that on prospective living standards jumping six points to 96.

In May, consumer sentiment on current and future domestic economic conditions climbed 12 points and 10 points on-month respectively, while consumer sentiment on prospective income and spending stayed unchanged.

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