Euro zone inflation flat in May, core CPI lower
BRUSSELS, June 19 (Reuters) - Consumer price inflation in the 11-nation euro zone was 1.9 percent in May, unchanged from April, European Union statistics agency Eurostat said on Monday.
The number confounded expectations among analysts that headline CPI in May would move back up to the European Central Bank's two percent ceiling for inflation due to a renewed uptick in oil prices.
The annual change in the energy component of the consumer price index did tick up, hitting 12.2 percent after a 10.5 percent rise in April.
But closely-watched core inflation, which excludes volatile energy, food, alcohol and tobacco products, eased to 1.1 percent from 1.3 percent, indicating price pressures in the currency area remain moderate.
Inflation in Germany, the euro zone's largest national economy, eased to 1.5 percent from 1.6 percent. German CPI accounts for around a third of the euro zone inflation index.
Inflation also fell in Luxembourg and Austria.
The fall in Germany helped offset rising inflation in eight of the 11 euro zone nations, including France, where inflation rose to 1.6 percent from 1.4 percent, Italy, up to 2.5 percent from 2.4 percent, and Spain, up to 3.2 percent from 3.0 percent.
Germany also had the lowest inflation rate in the euro zone. Inflation was highest in Ireland at 5.1 percent.
Eight countries had inflation rates above the ECB's two percent ceiling. Along with Germany and France, only Austria was below at 1.6 percent.
06:04 06-19-00 |
