Consumer prices in the eurozone rose by 1.9% year-on-year in May, according to preliminary data from the European Union’s statistical office.
This marks a slowdown in inflation compared to 2.2% in April. The consensus forecast of analysts cited by Trading Economics had predicted a less significant slowdown in inflation to 2%.
Consumer price growth fell below the European Central Bank’s (ECB) target of 2% for the first time since September 2024. The rise in prices for services in the eurozone slowed to 3.2% in May from 4% in April, while the cost of food, alcohol and tobacco accelerated to 3.3% from 3%.
Energy prices fell by 3.6%, as in the previous month, while industrial goods rose by 0.6%, as in April. The growth rate of consumer prices excluding food and energy (Core CPI) slowed to 2.3% year-on-year in May, the lowest since October 2021, from 2.7% a month earlier.
Experts had expected growth to slow to 2.5% on average. Compared to April, consumer prices in the eurozone remained unchanged in May (+0.6% in April). Final data on inflation dynamics in the eurozone for the past month will be released on June 18.
