PRAGUE, Oct 9 (Reuters) - Czech September inflation dataconfirm the tone of the central bank's macroeconomic forecastregarding the anti-inflationary effect of the domestic economy,the bank said on Tuesday.
The forecast assumes a further decline in interest rates inthe next several quarters.
Consumer prices dipped by 0.1 percent in September versus amonth earlier, bringing annual inflation to 3.4 percent. Thebank had expected the headline figure at 3.5 percent.
It said the main reason for the difference with its forecastwas that adjusted inflation excluding fuels, a measure ofdemand-driven price growth, was lower than expected, remainingnegative.
Monetary policy-relevant inflation, defined as headlineinflation adjusted for the first round effects of indirect taxchanges, was at 2.1 percent, the bank added.
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(Reporting by Jana Mlcochova; Editing by Michael Winfrey)
Keywords: CZECH CBANK/CPI