Eurozone October Inflation Rate at Near 6-Year High



The annual inflation rate in the Euro Area is expected to pick up to 2.2 percent in October 2018 from 2.1 percent in the previous month and in line with market consensus. That should be the highest inflation rate since December 2012 on the back of higher prices of services, energy, processed food and industrial goods.

Looking at the main components of euro area inflation, prices are expected to rise at a faster pace for services (1.5 percent vs 1.3 percent in September); energy (10.6 percent vs 9.5 percent); processed food, alcohol & tobacco energy (2.3 percent vs 2.2 percent) and non-energy industrial goods (0.4 percent vs 0.3 percent). Meanwhile, inflation should slow for unprocessed food (2.1 percent vs 3.2 percent).

Annual core inflation, which excludes volatile prices of energy, food, alcohol & tobacco and at which the ECB looks in its policy decisions, is likely to increase to 1.1 percent in October from 0.9 percent in September and above market consensus of 1 percent.

Eurozone October Inflation Rate at Near 6-Year High


Eurostat | Joana Ferreira | joana.ferreira@tradingeconomics.com
10/31/2018 10:13:23 AM