Eurozone inflation jumped to 3.2% in May, up from 3.0% in April, and the big surprise was services prices, which sped up sharply to 3.5%. That strengthens the case for the European Central Bank to raise rates at its meeting on June 11.
Energy is still the biggest driver, up nearly 11% from a year ago, but the spread into services is what worries policymakers most. Meanwhile, European stocks opened higher as oil prices eased on hopes for progress toward an Iran deal.
Today’s Europe & EU Intelligence Brief covers the region’s finance, markets, economy, and politics. We pulled it together from German, French, Italian, Spanish, Dutch, and English sources.
Eurozone — Inflation Jumps to 3.2%
Prices Rose Faster Than Expected in May
