Eurozone Inflation Hits Three-Year High Amid Rising Energy Costs

The Eurozone's inflation rate has hit a three-year high of 3.8 percent in September, according to a flash estimate released by Eurostat on October 2.

This marks the third consecutive month of acceleration, with the September data surpassing the previous record set in September 2023.

The main components driving this increase include energy, which is expected to record an annual rate of 18.8 percent, up from 14.3 percent in August. Services inflation is forecast to pick up to 3.2 percent from 3.0 percent, and food, alcohol, and tobacco inflation to 1.4 percent from 1.1 percent.

Inflation also accelerated in four of the eurozone's largest economies: Germany (3.3 percent), France (3.4 percent), Italy (4.1 percent), and Spain (5.0 percent).