South Korea's consumer sentiment fell sharply in May amid worsening economic indicators and concerns about inflation.

The Bank of Korea said on Tuesday that the composite consumer sentiment index(CCSI) came to 97-point-nine for the month, down three-point-seven from the previous month.

The figure is the lowest since January, when the index stood at 97-point-five, and is the first drop in six months after rising for five consecutive months from December last year. All six indexes comprising the CCSI declined.

A reading above 100 means optimists outnumber pessimists while a figure below the threshold means the reverse.

A BOK official said the CCSI slipped amid a drop in economic indicators due to the escalating trade dispute between the U.S. and China, poor economic performances and a drop in stock prices. The official also cited concerns about price hikes due to the recent rise in the exchange rate.