Eurozone Inflation Accelerates on Renewed Energy Price Surge

Consumer price inflation across the eurozone accelerated in July, according to preliminary estimates from Eurostat. The harmonised consumer price index rose to 2.9% year-on-year, matching analysts' expectations.

The increase was driven by energy prices, which jumped 10% after easing to 8.5% in June. Core inflation also rose to 2.5%, as higher services inflation (3.3%) and non-energy industrial goods price growth (0.9%) contributed to the overall increase.

Food, alcohol, and tobacco prices, however, rose at a slower pace of 1.2% year-on-year in July, down from 1.5% the previous month.