Eurozone: Inflation Falls to 2.6%
Germany – 2.5%, France – 2.9%, Italy – 0.8%, Spain – 2.8%
Annual inflation in the eurozone falls to 2.6%. This is evidenced by the latest data published by the Statistical Office of the European Union (EUROSTAT). February’s 2.6% follows last year’s 2.8% preliminary estimate.
Considering the main components of eurozone inflation, the highest annual rate in February is expected to be for food, alcohol, and tobacco products (4.0% vs. 5.6% in January), followed by services (3.9% vs. 4.0% in January), non-energy manufactured goods (1.6% vs. 2.0% in January), and energy (-3.7% vs. -6.1% in January).
Core inflation (excluding energy, food, alcohol, and tobacco products) also fell to 3.1% from 3.3%.
In Germany, annualized inflation in February was 2.5%, the lowest result since June 2021. France recorded its best result since September 2021 at 2.9%, down from 3.1% in January. However, in Italy, inflation was stable at +0.8% in February, with a slowdown in food prices offsetting a slowdown in deflationary pressures from energy prices. In Spain, year-on-year inflation is estimated at 2.8%, down from +3.4% in January.