<\/p>\n\n\n\n
Eurozone consumer prices picked up slightly in August but stayed close to the European Central Bank\u2019s (ECB) target, reinforcing expectations that policymakers will hold rates steady at their September meeting.<\/p>\n\n\n\n
A flash estimate from Eurostat<\/strong> showed the headline consumer price index (CPI)<\/strong> rose 2.1% year-on-year in August<\/strong>, compared with 2.0% in July. The figure aligned with market expectations and suggests inflation remains under control despite lingering global trade and geopolitical pressures.<\/p>\n\n\n\n The services sector<\/strong>, closely watched by the ECB due to its role in domestic price stability, recorded a modest slowdown. Services inflation eased to 3.1% from 3.2% in July<\/strong>, marking the lowest level since March 2022 and signaling that underlying domestic price pressures are cooling.<\/p>\n\n\n\n Meanwhile, core CPI<\/strong> \u2013 which strips out volatile food and energy prices \u2013 ticked up slightly to 2.3%<\/strong>, matching July\u2019s pace but surpassing economists\u2019 projection of 2.2%.<\/p>\n\n\n\n The ECB left its key interest rate unchanged at 2% in July<\/strong>, ending a year-long cycle of cuts. President Christine Lagarde<\/strong> described policy as being in a \u201cgood place\u201d but acknowledged that trade tensions and political risks still cloud the outlook.<\/p>\n\n\n\n With inflation close to target, analysts expect the ECB to maintain rates at the upcoming September 11 meeting<\/strong>, while keeping the door open to further reductions later this year or in early 2026 should growth falter.<\/p>\n\n\n\n Concerns remain over the Eurozone\u2019s broader economy<\/strong>, which has shown signs of weakening momentum. Some policymakers may push for additional easing later in 2025 to prevent inflation from consistently undershooting the 2% target.<\/p>\n\n\n\n Analysts suggest that while the near-term outlook supports a pause, the autumn debate may reignite<\/strong> if economic data deteriorates further, particularly in the industrial and export-driven sectors.<\/p>\n","protected":false},"excerpt":{"rendered":" Eurozone consumer prices picked up slightly in August but stayed close to the European Central Bank\u2019s (ECB) target, reinforcing expectations that policymakers will hold rates steady at their September meeting. Inflation Data A flash estimate from Eurostat showed the headline consumer price index (CPI) rose 2.1% year-on-year in August, compared with 2.0% in July. The …<\/p>\n","protected":false},"author":9,"featured_media":71676,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[38,36],"tags":[],"class_list":["post-118345","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-commodities-news","category-market-updates"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/118345","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=118345"}],"version-history":[{"count":1,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/118345\/revisions"}],"predecessor-version":[{"id":118346,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/118345\/revisions\/118346"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/71676"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=118345"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=118345"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=118345"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Policy Implications<\/h3>\n\n\n\n
Economic Outlook<\/h3>\n\n\n\n