Latest data released by Eurostat - 31 August 2021

Latest data released by Eurostat - 31 August 2021
  • Prior +2.2%
  • Core CPI +1.6% vs +1.5% y/y expected
  • Prior +0.7%

Eurozone inflation surges to a 10-year high and that creates a bit of a headache for the ECB as it challenges their view on price outlook and that inflation remains 'transitory', with policymakers continuing to maintain that the increase is transient.

That said, they do mention that their view accounts for prices to peak in around November but the issue here is that the continued hit to supply chains globally will oversee higher and rising cost pressures still towards the year-end.