Eurozone Inflation Again Driven Higher by Energy Costs

SEPT HICP

ZURICH (MaceNews) – Pushed by continued double-digit growth for energy costs, consumer prices in the Eurozone rose more than forecast for September, the latest data from Eurostat showed.

Consumer prices as measured by HICP rose 3.4 percent in September according to preliminary figures, exceeding the median of 3.3 percent in an Econoday survey of economists’ forecasts. In August, prices rose 3.0 percent on an annual basis.

Energy prices were again the main driver, rising 17.4 percent according to Eurostat estimates; faster than the 15.4 percent increase in August and 14.3 percent in July. Excluding energy costs, overall inflation would have risen 1.9 percent compared to September of last year.

The narrow core measure of inflation which excludes energy, food, alcohol and tobacco also rose 1.9 percent in September on a year-over-year basis.

Prices for major components in September:

  • Food, alcohol and tobacco +2.1% Y/y
  • Energy +17.4% Y/y
  • Non-energy industrial goods +2.1% Y/y
  • Services +1.7% Y/y

Two of the major economies in the euro area saw their annual inflation reach four percent or higher:

  • Germany +4.1% Y/y
  • Spain +4.0% Y/y
  • Italy +3.0% Y/y
  • France +2.7% Y/y
  • Netherlands +2.9% Y/y

Share this post