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April inflation 3.9% y-o-y, 0.8% m-o-m, above expectations

Consumer prices in Hungary were 3.9% higher in April 2005 than a year earlier, the Central Statistical Office (KSH) announced Wednesday. Prices were up 0.8% compared to the previous month.

2005. május 16. hétfő, 07:00

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The year-on-year figure is up from 3.5% in March, and is higher than analyst expectations of 3.7% (Reuters), shifting further away from a record low CPI figure of 3.2% in February. In the first four months of 2005, consumer prices were up 3.7% on average year on year.

The jump in the headline figure was caused mostly by seasonal and one-off factors, as core inflation declined from 2.8% in March to 2.6% in April. These effects included a 5.7% increase in the prices of seasonal food compared to March, while month-on-month price increases were also significant in fuel (5.1%), gambling and lottery (6.1%), and clothing (3.4%) – the latter was due to the introduction of summer collections.

Food prices were up 0.7% on the month, as increases in the prices of seasonal products, pastry and chocolate were somewhat counterbalanced by decreasing sugar, pork fat and dairy prices. Excluding seasonal products, prices in the food sector were up just 0.1% compared to the previous month, the KSH said.

Compared to April 2004, above-average increases were registered in household energy prices, fuel and services. The 5.8% inflation in the services sector was driven by increases of 13–14% in prices of communal services. Vehicle fuel prices were up 12%, while in the food sector, an over 50% increase in pork fat prices was offset by a 27% decline in flour prices.

NAPI Online
NAPI Online

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