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Hungary Inflation June 2018

Hungary: Inflation hits an over five-year high in June

Consumer prices rose 0.3% month-on-month in June, coming in below the 0.6% increase observed in May. June’s print was largely driven by higher prices for motor fuels, and alcoholic beverages and tobacco.

Inflation accelerated from 2.8% in May to an over five-year high of 3.1% in June, moving above the midpoint of the Central Bank’s target range of 3.0% plus or minus 1.0 percentage point. February was the only month since June 2017 in which inflation fell outside the target band. Annual average inflation in June ticked up from 2.3% in May to 2.4%.

Core consumer prices, which exclude volatile items such as fresh food and fuel, increased 0.3% month-on-month in June, up marginally from May’s 0.2% increase. Lastly, core inflation remained stable at May’s 2.4% in June.

Hungary Inflation Forecast

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