Hungary: Inflation ticks up in April
May 11, 2012
In May, consumer prices decreased 0.2% over the previous month, which contrasted the 0.8% price increase observed in April. The drop was mostly the result of lower costs for motor fuels, which decreased 3.6%. Owing to the monthly price drop, annual headline inflation declined from 5.7% in April to 5.3% in May. Despite the fall, annual inflation remains well above the Central Bank's 3.0% inflation target with a 1.0 percentage point tolerance margin. Meanwhile, seasonally adjusted core inflation index, which excludes volatile items such as food and fuel, dropped 0.1% over the previous month, prompting annual core inflation to decline from 5.1% in April to 4.8% in May.