-
Euro-area flash inflation: Coming down
Euro-area inflation is slowing down. It seems that also broad price pressures are moderating. While there continues to be a lot of uncertainty around inflation forecasts, we expect inflation to return to the ECB target by the end of 2024. The Euro-area flash inflation slowed down a bit more than expected to 4.3% (5.2% in August, 4.5% consensus). Although food and energy contributed to the decline, also core inflation slowed down significantly, from 5.3% to 4.5% (4.8% consensus). Lower core inflation was partly due to the base effects stemming from German easing policies in 2022 but there are signals that price ... (full story)