Britain scores an own goal

In the United Kingdom almost 60 percent of the members of the ruling Conservative Party want PM Theresa May to resign, after the party lost the majority of their seats in the parliament at the general elections. At the moment it can’t be told how the election result will affect the BREXIT talks, but it could happen that a new referendum will be held. In the euro zone the inflation rate was a bit lower in May than in the previous month (1.4 percent) and moved away a little from the ECB’s 2-percent target. Early June the FED announced its plans to raise the base rate. In Q1 2017 the GDP growth was 1.2 percent in the USA – lower than in the previous quarter but higher than expected. In Hungary the BUX index was up 4.8 percent. The forint has strengthened by 1.2 percent against the euro and by 3.6 percent against the dollar. As for the world market, despite the risks present, global economic growth and growing inflation are forecasted for 2017.

_{Balázs Gödrösy
managing director
GFS Consulting}