Eurozone inflation falls below 2% target boosting hopes of an interest rate cut

Oct. 1 (UPI) -- Inflation in the 20 European Union economies that use the euro slowed by 0.4% to 1.8% in September as an energy prices plunge that began in August gathered pace, according to official figures published Tuesday.

The annual pace at which prices of services; food, alcohol and tobacco; and non-industrial goods rose all held about level at 4%, 2.4% and 0.4%, respectively, but the speed at which energy prices were falling doubled to 6%, compared with 3% in August, Eurostat, the EU's main statistical agency, said in flash estimates.

Advertisement