INSTANT VIEW 1-Slovak Oct CPI above market forecasts

...on 
Monday. 
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KEY POINTS: 
SLOVAK HEADLINE CPI      OCT 07     SEPT 07 FCASTS 
  pct change mo/mo       +0.6          +0.2 
  pct change yr/yr       +3.3          +2.8 
     
(for full table please click ............ [ID:nBSD000055]) 
     
- October core inflation rate, which excludes the impact of 
changes to state-regulated prices and excise taxes, rises 0.7 
percent month-on-month, compared with the market forecast of a 
0.3 percent increase. 
- Housing, water, electricity, gas and other fuel prices are up 
0.1 month-on-month in October, after staying flat in September. 
- Prices of food and non-alcoholic beverages jump 2.6 percent on 
the month in October, after a 1.0 percent increase in September. 
- Transportation prices, influenced mainly by oil costs, are 
flat on the month in October, after a 0.1 percent drop in 
September. 
     
BACKGROUND: 
- Inflation data were calculated according to domestic 
methodology. 
- The central bank (NBS) sets its goals according to inflation 
calculated under the EU-harmonised consumer price index as part 
of Slovakia's goal to adopt the euro in 2009. 
- The Statistics Office will release EU-norm inflation data for 
October on Nov. 15. 
- The market followed local inflation data in the past because 
of their earlier release, but analysts have started to pay more 
attention to statistics by EU-methodology after the two figures 
began to show wider differences earlier in 2007. 
- Slovak inflation accelerated in 2005 and 2006 due to hikes in 
natural gas and heating prices for households. 
- But price growth slowed at the start of 2007 partly due to 
government pressure on utilities. 
- The central bank, which cut its key two-week repo rate by 25 
basis points to 4.25 percent in March and April, held rates 
steady for the sixth month in a row in October. 
     
LINKS: 
- For further details on October inflation and other past data, 
Reuters 3000 Xtra users can click on the Slovak Statistics 
Office's website: 
    http://wwww.statistics.sk/webdata/english/index2_a.htm 
 
- For LIVE Slovak economic data releases, click on...... 
- Schedule of upcoming indicator releases............ 
- Summary of short-term economic data forecasts...... 
- Stories on Slovak currency moves........................[SKK/] 
- Slovak speed money guide .............................. 
- Slovak benchmark state bond prices ................. 
- Slovak forward money market rates .................... 
   (Reporting by Peter Laca and Martin Dokoupil; editing by Ruth 
Pitchford) 
    
  Keywords: SLOVAKIA INFLATION/  
    

[BRATISLAVA/Reuters/Finance.cz]