Euro Area Inflation Rate Confirmed at Near 2-Year High

Consumer prices in the Eurozone increased 0.4 percent year-on-year in September of 2016, following a 0.2 percent gain in each of the previous two months and in line with preliminary figures. It is the highest inflation rate since October of 2014, boosted by cost of restaurants and cafes, rents and tobacco.

The largest upward impacts came from prices of restaurants and cafes (cost rose 1.5 percent), rents (+1.1 percent) and tobacco (+2.3 percent) while fuels for transport (cost fell 2.4 percent), gas (-5.6 percent) and heating oil (-12.7 percent) had the biggest downward impacts. 

Inflation rose in Germany (0.5 percent from 0.3 percent in August), France (0.5 percent from 0.4 percent in August) and Itlay (0.1 percent from -0.1 percent). Among member states, the highest inflation rates were recorded in Belgium (1.8 percent), Estonia (1.7 percent) and Austria (1.1 percent) and the lowest in Slovakia (-0.5 percent), Cyprus (-0.4 percent) and Ireland (-0.3 percent). 

Core inflation which excludes energy, food, alcohol and tobacco was 0.8 percent, the same as in August. Excluding fuel only, the inflation also eased to 0.8 percent from 0.9 percent in August.  

Compared with the previous month, consumer prices went up 0.4 percent, following a 0.1 percent gain in August.

Euro Area Inflation Rate Confirmed at Near 2-Year High

Eurostat | Joana Taborda |
10/17/2016 9:27:08 AM