Are you sure?

Analysts estimate inflation accelerated to 4.2% in February

Analysts polled by the business daily Napi Gazdaság estimate that inflation accelerated to 4.2%yr/yr in Hungary in February from 4.0% in January as food prices and, increasingly, fuel prices continue to rise, the paper said on Wednesday.

The Central Statistical Office (KSH) will publish February CPI on Friday.

Fuel prices will influence inflation considerably over the coming months, and food prices continued to increase as well, János Samu of Concorde said. The January gas price rise of an average 5% will also be reflected in the February figures, he added.

Nevertheless, price rises of public services remain restrained compared with last year, thus, inflation is not expected to run away in spite of the dynamic increase in fuel prices, Gergely Suppan of Takarékbank said. The pricing of market services could also remain restrained, and no changes can be expected in terms of the prices of consumer durables, he added.

The analysts said monthly inflation figures could remain at around 4% until the summer. CPI could start falling due to the increasingly higher bases resulting from food prices, but much will depend on the performance of the Hungarian agricultureas well as on global commodity prices this year , Suppan noted.

Gergely Fórián Szabó of Pioneer, however, said he did not expect to see a decline in the inflationary curve, which could remain at around 4% throughout the year.