Vietnam’s inflation still edging up, activity indicators soft

SINGAPORE – ANZ Bank says it expects the State Bank of Vietnam (SBV) to keep interest rates on hold despite ongoing weakness in retail and external trade – because of continued upside pressure on inflation. ANZ says the Vietnam data dump for August confirms the reality of deteriorating activity and inflation fundamentals: “Vietnam’s CPI inflation increased in August more than expected, while retail sales remained tepid, led by a moderation in trade-related sales. External trade surprised with a deficit.