Inflation dropped to 0.7% y/y in December from 1.0% y/y a month earlier and was slightly below the consensus of 0.8% y/y – mainly due to food and fuel price behavior. Also, a sharp easing in corporate wage growth, slowing to 1.5% y/y in December from 6.9% in November, supports a hypothesis that the recent pick-up was only a one-off phenomenon, caused mainly by bonuses payments - particularly in the mining and metal sectors. This also indicates that industrial production data, that will be published on Thursday, should be very weak. From our perspective, subdued growth in inflation and wages creates favorable conditions for further monetary easing. Hence, we expect a cut of 25 bp at the nearest MPC meeting.