Eurozone inflation further cools in March
Release time：2024-05-22 10:46:57 Source：Culture Capsule 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：Scheffler back to work at Colonial and Stricker returns to Senior PGA in Michigan
- Next：US defender John Brooks to leave German club Hoffenheim
Related articles
- Syrian first lady Asma Assad diagnosed with leukemia, president's office says
- Inside Prince Harry and Meghan Markle's ultra
- Kate Martin attends WNBA draft to support Caitlin Clark, gets drafted by Las Vegas in second round
- China take three golds at Badminton Asia Championships
- Vatican makes fresh overture to China, reaffirms that Catholic Church is no threat to sovereignty
- Bodies of 3
- Ancient rock carvings wear 'digital smart armor' in SW China
- Former All Blacks head coach Ian Foster secures a new role in Japan
- PHOTOS: At the Pet Gala, fashion goes to the dogs
- Inside Prince Harry and Meghan Markle's ultra
- Warner holds out IPL hot shot Fraser
- Characters enter the public domain. Winnie the Pooh becomes a killer. Where is remix culture going?
- Chinese athletes preparing for 2026 Winter Olympics
- Justin Bieber goes shirt
- Elvis' granddaughter Riley Keough fights Graceland estate auction
- Ancient tea embraces new flavor
- Eased processes aid tourism growth
- Torch and sandals: What to know about the flame
- The bodies of 4 men and 2 women were found strangled, piled up in Mexican resort of Acapulco
- Chinese athletes preparing for 2026 Winter Olympics
Random recommendation
China's Experience with Gender Equality Shared at UNWomen's Symposium Commemorates 30th Anniversary of ChinaExhibition on Achievements in China Women and Children's Cause Opens in BeijingACWF and UN Women Working Hand in Hand, Supporting Women in Coping with COVIDCCTF, Sinopec Launch 'Spring Bud Gas Station' in BeijingFor a Shared Dream Exhibition Opens in BeijingShen Addresses via Video Link at Fourth SCO Women's ForumShen Yueyue Calls for Women's Contributions to a Successful Beijing 2022Supporting Women As They Play Greater Roles in Scientific, Technological InnovationACWF Publicizes Top 10 Women, Children's Rights
- Copyright © 2024 Powered by Eurozone inflation further cools in March ,Culture Capsule news portal sitemap