Euro-Zone Inflation Hits Highest Level Since 2023 as ECB Weighs Rate Hike

The European Central Bank (ECB) is likely to raise interest rates next week as euro-zone inflation has jumped to its highest level in almost three years.

According to Eurostat, consumer prices rose by 3.3% from a year ago in August, exceeding the previous month's rate of 2.9%. This marks the highest inflation rate since September 2023 and is in line with the median estimate in a Bloomberg survey.

The ECB has been considering an interest-rate hike to combat rising inflation, and this latest data will only strengthen their case. The central bank's decision next week will have significant implications for the euro-zone economy.