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Eurozone inflation continues its downward trend (of course, prices are still rising) , hitting 2.2% in August, down from July's 2.6%. However, the services sector is bucking the trend, with prices rising 4.2% year-over-year, up from 4.0% in July. This could spell trouble for the European Central Bank's (ECB) inflation targets.
Analysts predict September's overall inflation rate to dip to 1.8%, while core inflation holds steady at 2.8%. Germany's inflation data, due Monday, is expected to show a slight decrease to 1.8% from 2.0%. Post-rate cut, ECB officials have adopted a dovish tone, leading some economists to speculate on accelerated rate cuts. Keep an eye on Wednesday's Eurozone employment report for further economic insights.
More debasement is coming...
Interesting that core CPI is now higher than headline (I assume that's the full basket).
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