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HomeLatest NewsEurozone inflation remains at 5.3% in July and 'feeds' another rate hike

Eurozone inflation remains at 5.3% in July and ‘feeds’ another rate hike

Date: September 22, 2023 Time: 21:11:51

Inflation in the euro zone closed the month of July at 5.3%, barely two tenths below the previous month, but suffered an increase of two tenths in the underlying inflation data, which excludes food prices and energy and that is what the ECB takes into account when making decisions on interest rates, so that the threat of a new rise in the price of money in September, beyond the current 4%, is still on the table . Even though the data for the month of July is far from the 10.6% of the same month last year, in the midst of the energy crisis, it is still well above the 2% that the European financial institution has set as a goal to yield in interest rates. interest, so that the markets do not yet discount a downward trend.

Energy prices have contributed the most to the drop in inflation in the euro zone, which has also remained at 6.1 throughout the EU, food prices (more than an 11% year-on-year rise) and of services, so that the most structural part of the parameter does not suggest a relaxation of the ECB.

Puck Henry
Puck Henry
Puck Henry is an editor for ePrimefeed covering all types of news.

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