Financial News: Eurozone Inflation Eases To 1.9% As Estimated

Eurozone Inflation Eases To 1.9% As Estimated

06/18/2025 - 05:38:00 (RTTNews)

(RTTNews) - Eurozone inflation slowed in May, as initially estimated, on falling energy prices, final data from Eurostat revealed on Wednesday.

Inflation softened to 1.9 percent in May from 2.2 percent in April. The rate fell below the European Central Bank's 2 percent target for the first time since September 2024.

Core inflation that strips out prices of energy, food, alcohol and tobacco, slowed to 2.3 percent from 2.7 percent. The statistical office confirmed the flash estimate published on June 3.

On a monthly basis, the harmonized index of consumer prices and the core index remained flat in May. Monthly figures also came in line with initial estimate.

Food inflation accelerated to 3.2 percent from 3.0 percent, while services inflation softened to 3.2 percent from 4.0 percent, data showed. At the same time, non-energy industrial goods logged a steady growth of 0.6 percent.

Energy prices declined 3.6 percent in May, the same rate of drop as seen in April. Earlier this month, the ECB slashed its interest rates by 25 basis points, marking the eighth reduction in a year. Also, the ECB staff trimmed inflation forecast for this year and next by 0.3 percentage points to 2.0 percent and 1.6 percent, respectively. Core inflation was forecast to average 2.4 percent this year and 1.9 percent in 2026 and 2027.

For comments and feedback: contact editorial@rttnews.com

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS

UK Inflation Slows Slightly In May (06 min(s), 49 sec(s) ago)
(RTTNews) - UK consumer price inflation softened in May as the slowdown in transportation costs wa ...Full Story»

Cyprus HICP Inflation Eases To 0.4%, Lowest In Over 4 Years (08 min(s), 49 sec(s) ago)
(RTTNews) - Cyprus's EU measure of consumer price inflation eased further in May to the lowest ...Full Story»

Bank Indonesia Holds Interest Rate Steady At 5.5% As Expected; Hints At Reduction (44 min(s), 49 sec(s) ago)
(RTTNews) - Indonesia's central bank left its benchmark interest rate unchanged on Wednesday a ...Full Story»

U.S. Housing Starts Plunge Much More Than Expected In May (54 min(s), 49 sec(s) ago)
(RTTNews) - The Commerce Department released a report on Wednesday showing a steep drop by new res ...Full Story»

U.S. Weekly Jobless Claims Edge Down In Line With Estimates (01 hr(s), 02 min(s), 49 sec(s) ago)
(RTTNews) - First-time claims for U.S. unemployment benefits edged modestly lower in the week ende ...Full Story»

South Africa Retail Sales Growth Accelerates To 5.1% (01 hr(s), 32 min(s), 49 sec(s) ago)
(RTTNews) - South Africa's retail sales growth quickened in April after easing in the previous ...Full Story»

Italy Current Account Surplus Shrinks In April (03 hr(s), 21 min(s), 49 sec(s) ago)
(RTTNews) - Italy's current account surplus decreased in April from the previous year, the Ban ...Full Story»

Eurozone Current Account Surplus Near 1-Year Low (03 hr(s), 41 min(s), 49 sec(s) ago)
(RTTNews) - The euro area current account surplus fell to a near one-year low in April, the Europe ...Full Story»