Eurozone inflation has sunk to a fresh four-and-a-half year low. Inflation fell to 0.4 per cent this month from 0.5 per cent in June, reports Claire Jones.
The figure was slightly lower than analysts’ expectations of 0.5 per cent, though some economists lowered their forecasts yesterday on the back of signs price pressures had moderated in two of the region’s largest economies, Germany and Spain.
The last time inflation in the currency bloc were this subdued was in October 2009.
The dip leaves inflation at less than a quarter of the European Central Bank’s target of below but close to 2 per cent.
