EU inflation stable at 2.1% in June


Euro area1 annual inflation was 1.9% in June 2007, unchanged compared to May. Monthly inflation was 0.1% in June 2007. EU3 annual inflation was 2.1% in June 2007, unchanged compared to May.

Inflation in the EU Member States
In June 2007, the lowest annual rates were observed in Malta (-0.6%), Belgium, Denmark, France and Sweden (1.3% each), and the highest rates in Latvia (8.9%), Hungary (8.5%) and Estonia (6.0%). Compared with May 2007, annual inflation rose in thirteen Member States, remained stable in ten and fell in three. The lowest 12-month averages4 up to June 2007 were in Malta (1.1%), Finland (1.3%), France and Sweden (1.5% each); the highest were in Latvia (7.2%), Hungary (7.1%) and Bulgaria (5.6%).

Euro area
The main components with the highest annual rates in June 2007 were education (9.2%), alcohol & tobacco (3.6%) and hotels & restaurants (3.2%), while the lowest annual rates were observed for communications (-1.7%), recreation & culture (0.1%) and clothing (1.3%). Concerning the detailed sub-indices, restaurants & cafés (+0.11 percentage points), tobacco and education (+0.07 each) had the largest upward impact on the headline rate, while telecommunications (-0.11), heating oil (-0.08), IT equipment and audio-visual equipment (-0.07 each) had the biggest downward impacts.

The main components with the highest monthly rates were hotels & restaurants (0.5%), transport (0.3%) and housing (0.2%), and the lowest were clothing (-0.7%), communications (-0.2%), household equipment, recreation & culture and education (0.0% each). In particular, fruit (+0.05 percentage points) and fuels for transport (+0.04) had the largest upward impact, while vegetables and garments (-0.05 each) had the biggest downward impacts.


Eurostat
7/16/2007 11:28:32 AM