MNB: Underlying inflation measures move counter to headline CPI

Analysis

The National Bank of Hungary’s (MNB) “underlying measures of inflation” fell or were flat in November, in spite of an acceleration in headline CPI, data published by the central bank today show.

The indicator for core inflation, excluding indirect tax effects, was 1.2% in November, down from 1.3% in the previous month. The indicator for demand-sensitive inflation, which excludes processed foods from core inflation, was 1.8%, slipping from 2%; while the indicator for sticky price inflation, which includes items for which retail prices vary, on average, no more than 15% a month, was 1.8%, level with the previous month.

The MNB said the indicators’ levels “continue to indicate a moderate inflation environment”.

“Householdsʼ inflation expectations have been broadly unchanged since early 2015, remaining at moderate levels in line with low underlying inflation developments,” the central bank added.

Hungary’s Central Statistical Office (KSH) reported early today that Hungary’s Consumer Prices Index (CPI) saw a year-on-year 0.5% rise in November.

ADVERTISEMENT

World Hurtling Towards Recession and Possible Financial Cris... Analysis

World Hurtling Towards Recession and Possible Financial Cris...

Lawmakers postpone expanded data provision for tourism secto... Parliament

Lawmakers postpone expanded data provision for tourism secto...

Dóra Petrányi to co-head CMS Tech, Media, and Comms Group Appointments

Dóra Petrányi to co-head CMS Tech, Media, and Comms Group

Budapest Mayor Karácsony signs Global Declaration for Democr... City

Budapest Mayor Karácsony signs Global Declaration for Democr...

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.