Eurozone inflation further cools in March
Release time：2024-05-19 17:18:09 Source：Culture Compass news portal
-
BRUSSELS, April 3 (Xinhua) -- The Eurozone saw its annual rate of inflation drop more than expected in March, marking a third consecutive month of decline, sparking optimism for a potential European Central Bank (ECB) interest rate cut in June. Annual inflation in the Eurozone is expected to drop to 2.4 percent in March, down from 2.6 percent in February, according to a preliminary estimate released by Eurostat, the statistical office of the European Union, on Wednesday. Core inflation rate, which excludes volatile goods such as energy, food, alcohol, and tobacco, cooled to 2.9 percent in March, reaching a two-year low. Despite the overall decrease, inflation in the services sector remained relatively high at 4 percent for the fifth consecutive month, underscoring its ongoing contribution to the inflationary backdrop. Meanwhile, the inflation rate for food, alcohol, and tobacco softened to 2.7 percent in March. The rate for non-energy industrial goods also saw a reduction, falling to 1.1 percent from 1.6 percent in the previous month. Notably, inflation rates varied among the Eurozone's largest economies, with Germany reporting a 2.3 percent rate, France at 2.4 percent and Italy at 1.3 percent. Bert Colijn, a senior economist at ING, described the March inflation figure as "encouraging," noting that the better-than-expected results boost chances of ECB rate cuts. However, he warned that the ECB will be in no rush to cut rates this month after ECB policymakers meet next week. Similarly, Angel Talavera, head of Europe Economics at Oxford Economics, indicated on the social media platform X that the persistent 4-percent services inflation "kills any chances of an April cut." Eurostat also revealed on Wednesday that the unemployment rate in the Eurozone stood at 6.5 percent in February, consistent with January's figures and reflecting a slight improvement from 6.6 percent in the same month the previous year. According to Colijn, the labor market remains robust, with unemployment at its lowest level since the Eurozone's inception in 1999. He cautioned that strong wage growth and a tight labor market might slow the reduction in inflation more than the ECB hopes. Nonetheless, he believes the labor market is unlikely to delay rate cuts much, but will temper any future rate cuts from the ECB. "June will be the moment for the ECB to start cautiously reducing rates," he said, anticipating a total reduction of 0.75 percent for this year.
（Editor:Liao Yifan）
- Previous：Industrial scale of Sino
- Next：Jury finds Honolulu's former top prosecutor and 5 others not guilty in a federal bribery case
Related articles
- Vietnam nominates its public security minister as new president
- 26 Republican attorneys general sue to block Biden rule requiring background checks at gun shows
- George W. Bush's portraits of veterans are heading to Disney World
- Deion Sanders, son respond to social media criticisms over how coach handled transfers at Colorado
- Death toll from south Brazil's climate disaster hits 151
- Selena Gomez reveals why she quit Instagram for four years
- Kentucky Derby Style Guide: From head
- Kansas legislators expect Kelly to veto their latest tax cuts and call a special session
- Tunisians stage anti
- Bernie Williams to raise awareness of lung disease at May 3 event in Puerto Rico
- MLB is expected to investigate David Fletcher for gambling on sports, AP source says
- Deion Sanders, son respond to social media criticisms over how coach handled transfers at Colorado
- United States defender Sergiño Dest will miss the Copa America. He needs surgery for torn ACL
- Democrats advance election bill in Pennsylvania long sought by counties to process ballots faster
- US security alert warns Americans overseas of potential attacks on LGBTQ events
- West Virginia GOP County Commissioners removed from office after arrest for skipping meetings
- Jury at Abu Ghraib civil trial might not be able to reach verdict: judge says
- South Carolina Senate takes up ban on gender
- The one American city that's almost beaten the war on inflation
- At least 9 dead, dozens treated in Texas capital after unusual spike in overdoses
Random recommendation
At least 15 killed in Israeli airstrikes on RafahSupreme Court rejects Musk appeal over Tesla tweetsChina's NEVs powering up to lead global sustainability chargeRolling Stones show no signs of slowing during latest tour in TexasInsider Q&A: Avelo Airlines CEO Andrew Levy describes the challenges of starting a new carrierChina rejects US accusations over normal ChinaForeign diplomats impressed by traditional culture, highNot just for trolls! FourUN Chinese Language Day celebrated in TunisiaPresident Xi on global, regional security
- Copyright © 2024 Powered by Eurozone inflation further cools in March ,Culture Compass news portal sitemap