Eurozone inflation inches down to 2.5% in June

Core inflation higher than expected

Eurozone inflation is expected to have fallen slightly to 2.5% in June, according to a flash estimate by Eurostat.

The figure is down 0.1% versus the 2.6% recorded in May, the EU agency said. The biggest detractors were food, alcohol and tobacco at 2.5% - down from 2.6% in May – and energy at 0.2% compared with 0.3% the previous month. Dovish Lagarde speech reassures expectations of no consecutive ECB rate cuts Services and non-energy industrial goods inflation, however, remained unchanged in June at 4.1% and 0.7%, respectively. The full inflation data for the euro area will be released on 17 July, Eurostat noted. Richard Flax, chief investment officer at Moneyfarm, stated that despite th...