Hungary: Consumer prices decline in February
February 10, 2015
In February, consumer prices rose 0.5% over the previous month, contrasting the 0.2% drop observed in January. The figure represented the largest increase in 17 months and reflected higher prices for several categories of the price index, such as food, alcoholic beverages and tobacco as well as consumer durables.
In annual terms, consumer prices decreased 1.0% in February, following the 1.4% drop observed in the previous month, which had represented the steepest decline on record. As a consequence, inflation remains below the Central Bank’s target of 3.0%, with a tolerance margin of plus/minus 1.0%. Core consumer prices, which exclude volatile items such as fresh food and fuel, rose 0.2% over the previous month, coming in below January’s 0.3% increase. Meanwhile, annual core inflation edged up from 0.7% in January to 1.0% in February.