![CEE MARKETS-Forint underperforms on surprise increase in inflation]( "CEE MARKETS-Forint underperforms on surprise increase in inflation")
Headline inflation picked up to 2.9% in October, while the central bank’s key tax-adjusted inflation number also rose to 3.7% in October from 3.4% in September, data showed. Hungary’s benchmark base rate is at 0.9% while the overnight deposit rate is at -0.05%. “This is one factor in the forint’s weakness … that we have the loosest monetary policy in the region,” one dealer in Budapest said.
