In February, South Korea's consumer price index registered a 2.0% increase, marking two consecutive months at this rate. The stability in oil prices, attributed to a decline in international crude oil prices, played a significant role in maintaining this inflation rate. However, the onset of the U.S.-Iran conflict at the end of February is anticipated to introduce volatility in March's pricing, as highlighted by the potential rise in domestic gasoline prices following this disruption in oil supply.

The National Data Institution reported that while oil product prices decreased by 2.4% compared to the previous year, the impact of rising international oil prices from the conflict in March is expected to reverse this trend. Since the beginning of the month, domestic gasoline prices have surged by over 120 won, reflecting the immediate impact of international fluctuations. Analysts suggest that although prices were stabilized in February, the upcoming months may see a shift due to these external pressures, which could ultimately affect consumers.

Additionally, while vegetable prices decreased by 5.9% year-on-year, meat prices saw significant rises with cattle costs climbing 6% due to reduced slaughtering capacity. Grain products have also shown some price stabilization due to regulatory actions against price collusion among producers of essential commodities like sugar and flour. Overall, the economic outlook appears mixed, with recent trends indicating potential upward pressure on prices in the upcoming months as the market adjusts to ongoing geopolitical tensions.