2021.07.3009:46:00UTC+00Eurozone Inflation Exceeds 2%

Eurozone inflation accelerated more-than-expected in July, largely driven by higher energy prices, flash data from Eurostat showed on Friday.

Inflation rose to 2.2 percent in July from 1.9 percent in June. The rate was above the expected 2 percent.

Meanwhile, core inflation that excludes energy, food, alcohol and tobacco, slowed to 0.7 percent in July from 0.9 percent in June. The rate was forecast to ease to 0.8 percent.

On July 8, the European Central Bank adopted a symmetric 2 percent inflation target that will allow a temporary overshoot in inflation.

On a monthly basis, the harmonized index of consumer prices was down 0.1 percent. Among main components of inflation, energy logged its highest annual rate in July, up 14.1 percent. Prices of food, alcohol and tobacco advanced 1.6 percent annually.

Non-energy industrial goods prices rose 0.7 percent and services costs advanced 0.9 percent in July.