The twelve-month drop was bigger than expected by analysts, who generally forecast a fall, citing base effects. The last time KSH recorded a similar size fall was in the sixties, in 1968, department chief Borbála Minary told journalists.

The drop of household energy prices was the largest factor in the decline. Base effects also supported the drop, she said, as the rise in the retail margin of tobacco products and the financial transaction duty left the base in September.

In a year-on-year comparison, household energy prices were down 12%, falling on the back of government-mandated utility price cuts. Food prices edged up 0.2%, but alcohol and tobacco prices rose 3.3%.

Consumer durable prices were down 0.7% and service prices rose 1.6%.

Source www.hungarymatters.hu

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