Euro Area Inflation Rate at Near 2-1/2-Year High of 0.5%


Consumer prices in the Euro Area are expected to increase 0.5 percent year-on-year in October of 2016, following 0.4 percent growth in the previous month and in line with market expectations. It was the highest inflation rate since June 2014, as prices rose for services, food and energy cost fell at a slower pace.

Services are expected to have the highest annual rate in October (1.1 percent, the same as in September), followed by food, alcohol & tobacco (0.4 percent, compared with 0.7 percent in September) and non-energy industrial goods (0.3 percent, stable compared with September). Energy prices are expected to fall at a slower 0.9 percent, compared with 3 percent in September.

Core inflation rate which excludes prices of energy, food, alcohol and tobacco was stable at 0.8 percent from the previous month. Excluding energy only, the inflation rate was 0.7 percent, lower than 0.8 percent in the previous month.

Euro Area Inflation Rate at Near 2-1/2-Year High of 0.5%


Eurostat | Yekaterina Guchshina | yekaterina@tradingeconomics.com
10/31/2016 10:11:31 AM