Euro Area Inflation Rate Falls in January

Euro area annual inflation is expected to be 0.7 percent in January of 2014, down from 0.8 percent in December last year, due to lower energy prices. The ECB targets the inflation at 2 percent.

Looking at the main components of euro area inflation, food, alcohol and tobacco is expected to have the highest annual rate in January (1.7 percent, compared with 1.8 percent in December), followed by services (1.1 percent, compared with 1.0 percent in December), non-energy industrial goods (0.2 percent, compared with 0.3 percent in December) and energy (-1.2 percent, compared with 0.0 percent in December).  

Core inflation rate is expected to accelerate to an annual rate of 0.8 percent from 0.7 percent in December. 

Eurostat | Joana Taborda |
1/31/2014 10:15:32 AM