Estimates by Eurostat, or the statistical office of the European Union, showed moments ago that annual inflation in the eurozone rose to 7% in April in the preliminary reading, compared to 6.9% in the March reading, matching expectations.
In the details, prices in the energy sector rose at an annual rate of 2.5% in April after declining by 0.9% in March, while food prices rose by 13.6% from 15.5% in March, while the services index rose to 5.2% from 5.1%.
The main index, excluding food and energy prices, rose 5.6% in April compared to 5.7 in March, matching expectations.
These figures are expected to support the European Central Bank’s rate hike next Thursday by 25 basis points and reduce the bank’s chances of tightening stronger and raising by 50 points.