SpaceWar.com - Your World At War
Eurozone inflation leaps to 1.9% in May: Eurostat
Brussels, May 31 (AFP) May 31, 2018
Inflation in the eurozone leaped to the ECB's target in May, data showed on Thursday, fuelled by a huge increase in oil prices as the US decided to pull out of a nuclear deal with Iran.

The EU's statistics authority, Eurostat, said inflation in the eurozone jumped to 1.9 percent in May, a massive jump from the 1.2 percent recorded in April.

That puts inflation right at the European Central Bank's target of close to, but just below 2.0 percent.

Analysts believe increased inflation will heap pressure on the ECB to scale back its massive stimulus programme that has helped keep government borrowing prices at super low levels.

This would be especially sensitive in heavily-indebted Italy, which is hit by a political crisis and benefits greatly from the ECB bond-buying programme.

The strong jump in inflation was mainly due to energy prices, which shot up by a dizzying 6.1 percent in May compared to 2.6 percent the month before.

Oil has been trading at 3.5-year highs recently amid concerns about supply disruptions caused by the United States' decision to quit the Iran nuclear deal, as well as unrest in Venezuela.

Eurostat also said the jobless rate in the single currency area fell to 8.5 percent in April, a nine-year low and down from 8.6 percent a month before.


ADVERTISEMENT




Space News from SpaceDaily.com
Young magmas on the came from much shallower depths
JunoCam revived by onboard heat treatment just in time for Io flyby
CTAO telescope uncovers fresh evidence for layered jet structures in historic gamma ray burst

24/7 Energy News Coverage
States legally obligated to tackle climate change: ICJ
Viasat unveils IoT Nano service for global low-power connectivity
Xi says China, EU must deepen trust but bloc chief urges 'real solutions'

Military Space News, Nuclear Weapons, Missile Defense
Trump's AI plan prioritizes deregulation to boost US dominance
Thailand, Cambodia clash with jets and rockets in deadly border row
US approves $322 mn in arms sales to Ukraine; German government moves to speed up military procurement

24/7 News Coverage
World's top court paves way for climate reparations
Pacific climate pioneer still fears for island nation's future
China hails 'positive' ICJ ruling on climate reparations



All rights reserved. Copyright Agence France-Presse. Sections of the information displayed on this page (dispatches, photographs, logos) are protected by intellectual property rights owned by Agence France-Presse. As a consequence, you may not copy, reproduce, modify, transmit, publish, display or in any way commercially exploit any of the content of this section without the prior written consent of Agence France-Presse.