Hungary Inflation


Inflation moderates to slowest pace in eight months

In May, consumer prices added 0.2% over the previous month, which was well below the 0.6% price increase tallied in April. The relatively moderate monthly price hike came in as a result of slower price increases for food products (+0.4% month-on-month) as well as for clothing and footwear (+1.0% mom) compared to the previous month. Owing to the subdued monthly print, annual inflation dropped from 4.7% in April to 3.9% in May, which was well below market expectations of a 4.3% price rise. Meanwhile, seasonally adjusted core inflation, which excludes volatile items such as food and fuel, remained unchanged at April's 2.7%.


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