FX.co ★ Hungary Inflation Rises To 4.0%, Highest In 5 Months

Hungary's inflation rate increased for the second consecutive month in May, reaching its highest point in five months, according to data released by the Hungarian Central Statistical Office on Monday.

Consumer prices rose by 4.0 percent year-on-year in May, up from a 3.7 percent increase in April. Economists had forecasted an inflation rise to 4.2 percent. This figure also remains above the central bank's target of 3.0 percent.

In contrast, core inflation saw a slight dip, reaching a 32-month low of 4.0 percent, down from 4.1 percent the previous month.

Food prices experienced a steady annual growth of 1.0 percent in May, while overall goods prices accelerated at a pace of 2.0 percent. Clothing and footwear costs surged by 4.7 percent, whereas utility costs continued their decline, dropping by 2.4 percent.

On a month-to-month basis, consumer prices saw a slight decrease of 0.1 percent, following a 0.7 percent increase in the prior month.