Eurozone: Inflation edges down in February
February 28, 2017
According to preliminary data released by Eurostat on 28 February, harmonized inflation came in at 1.2% in February, slightly below January’s 1.3% reading. The result matched market analysts’ expectations. As a result, inflation now sits further below the European Central Bank’s target rate of just under 2.0%.
According to Eurostat, the moderation in price pressures was chiefly due to a smaller rise in food, alcohol and tobacco prices. In addition, energy prices also grew at a softer pace in February. Meanwhile, core inflation also unchanged at January’s 1.2%. Month-on-month price variations and a more detailed set of data will be released on 16 March.
Eurozone Inflation Forecast
FocusEconomics Consensus Forecast participants see inflation in the Euro area averaging 1.5% in 2018, which is unchanged from last month’s forecast. For 2019, panelists expect inflation to average 1.6%.