A salesman preparing a bag of sweets for a customer in the Sicilian confectionery shop Mazzone on February 02, 2024 in Catania, Italy.
Fabrizio Villa | Getty Images News | Getty Images
Inflation in the 20-nation euro zone eased to 2.6% in February, flash figures showed on Friday, but both the headline and core figures were higher than expected.
Economists polled by Reuters had forecast a headline reading of 2.5%.
Core inflation, stripping out volatile components of energy, food, alcohol and tobacco, was 3.1% — above the 2.9% expected.
The headline print previously came in at 2.8% in January, with further easing expected after price rises cooled in Germany, France and Spain.
Investors are hunting for clues on when the European Central Bank will start to bring down interest rates, with market pricing pointing to a June cut. Yet many ECB officials still stress that they need spring wage negotiations to conclude before they have a clearer picture of domestic inflationary pressures.
This is a breaking news story. Please check back for updates.
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