Actual (Sep): -0.1% mom; 3.8% yoy
Consensus: 0.0% mom; 3.9% yoy
Previous (Aug): -0.6% mom; 3.7% yoy
Consumer prices mildly decrease thanks to lower food prices (-0.4%) and seasonal decline in holiday packages at the end of the vacation season. On the other hand, fuel prices went up by 0.7% reflection recent development of world oil prices.
Annual inflation accelerated to 3.8%, but lagged behind expectations. Inflation remains above the central bank’s target, but in monetary policy horizon should decline closer to the target at 3%. Today’s print is neutral for the monetary policy and the NBH is likely to keep rates on hold at the next meeting (October 25).