Eurozone Inflation Jumps Amid Middle East Conflict

The Eurozone's inflation rate rose slightly to 2.9 percent in July, according to official data released by the EU's statistics agency. This increase comes after energy prices climbed due to the war in the Middle East, with a 10 percent rise in energy prices from June.

Core inflation, which excludes volatile energy and food prices, also accelerated slightly to 2.5 percent in July. The European Central Bank (ECB) had warned that the energy shock from the US-Iran conflict could intensify further, prompting them to keep their key deposit rate unchanged but leave open the possibility of a rise in September.

In related news, Germany's jobless rate rose unexpectedly to 6.4 percent in July, mainly due to seasonal factors and weak labor market momentum.