INSTANT VIEW 1-Slovak Sept CPI slows, beats fcasts

    BRATISLAVA, Oct 11 (Reuters) - Slovak consumer prices fell 
by 0.3 percent month-on-month in September, putting the annual 
inflation rate at 4.6 percent, the Statistics Office said on 
Wednesday. 
 
KEY POINTS 
SLOVAK HEADLINE CPI      SEPT 06    AUG 06    SEPT 05 
  pct change mo/mo        -0.3       0.0       +0.2 
  pct change yr/yr        +4.6      +5.1       +2.2 
SLOVAK CORE CPI 
  pct change mo/mo        -0.3      -0.1       +0.1 
  pct change yr/yr        +2.4      +2.8       +1.0 
 
- Analysts surveyed by Reuters had expected consumer prices to 
be flat on the month putting the annual rate at 4.9 percent in 
September. 
- The core inflation rate, which excludes the impact of changes 
to state-regulated prices and excise taxes, was forecast to fall 
by 0.2 percent month-on-month and rise by 2.6 percent 
year-on-year in September. 
- Prices of food and non-alcoholic beverages rose by 0.1 percent 
on the month in September, after a 0.9 percent drop in August. 
- Housing, water, electricity, gas and other fuels, which have 
the strongest weighting in the consumer basket were flat in 
September, after a 0.3 percent rise in the previous month. 
- Transportation prices, influenced mainly by oil costs, fell by 
2.2 percent on the month in September, after being flat in 
August. 
 
MARKET REACTION: 
- The market did not react to the data. The crown hit a new 
all-time high of 36.900 per euro at 0705 GMT. 
     
BACKGROUND: 
- Inflation data were calculated according to domestic 
methodology. 
- The central bank more closely follows inflation calculated 
under the EU-harmonised consumer price index, but the data 
calculated according to the local method usually show only small 
differences from the EU norm figures. 
- The Statistics Office will release EU norm inflation data for 
September on October 17. 
- The bank sets its inflation targets according to EU norm data 
as part of Slovakia's preparation for joining the euro in 2009. 
- The Slovak inflation rate rose sharply last year and in 2006 
due to hikes in natural gas and heating prices for households. 
- Analysts expect the central bank to hike the key two-week repo 
rate further later this year after three increases by 50 and one 
by 25 basis points earlier in 2006. 
   
LINKS: 
- For further details on September 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......<ECONCZ> 
- Schedule of upcoming indicator releases............<SK/ECON09> 
- Summary of short-term economic data forecasts......<SK/ECON04> 
 
- Stories on Slovak currency moves........................[SKK/] 
- Slovak speed money guide ..............................<CZK/1> 
- Slovak benchmark state bond prices .................<0#SKBMK=> 
- Slovak forward money market rates ....................<SKKFRA> 
 ((Reporting by Martin Santa, editing by ; 
bratislava.newsroom@reuters.com; Reuters Messaging: 
martin.santa.reuters.com@reuters.net; +421 2 5341 8402)) 
  Keywords: ECONOMY SLOVAKIA INFLATION