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Consumer Prices Rise 24.0% y/y, Broadly In-Line with Estimates

HUNGARY
  • Hungary’s consumer prices rose 24% y/y (Est: +24.1%) versus +25.2% in March. The monthly figure rose 0.7% (Est: +0.7%). Food prices rose by an annual 37.9% in April while household energy prices increased by 41.8%. Core inflation was 24.8%.
  • Officials will assess “in the coming months” the “persistence” of risk improvement as they deliberate on when to cut their EU-high 18% key interest rate, Virag said yesterday. The majority of sell-side analysts expect a cut to this rate by June at the latest.
  • EURHUF trades on the back foot following the data, with the cross matching the low of 370.58 that was printed yesterday. Once again, the forint performs as one of the strongest currencies in the region so far today, with support at 369.47 - the April 18 low – being eyed.
  • Minutes of the latest central bank meeting will be published at 1300BST/1400CET. There are no other major data releases scheduled for the remainder of the week.

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