Inflation indicators

Analysts predicted a slowdown to 4.5%

Inflation in the Eurozone in September 2023 increased by 4.3% y/y slowing down from 5.2% in August. Thus, inflation in Europe updated the minimum since October 2021. This is evidenced by the previous Eurostat’s data.

Analysts surveyed by Trading Economics expected inflation in the Eurozone to slow down to 4.5% in September.

At the same time, annual core inflation, which excludes energy and food costs, slowed to 4.2% in September. Energy prices decreased by 4.7% compared to 3.3% in August 2023.

The lowest inflation rates were recorded in Belgium (0.7%) and Greece (2.4%), the highest – in Croatia (7.3%) and Slovenia (7.1%). In Germany it was 4.3%, in France – 5.6%, in Italy – 5.7%.

According to the latest Eurostat data, inflation in the Eurozone slowed down to 5.2% y/y in August. Thus, inflation in Europe slowed for the fourth month in a row, reaching its lowest level since January 2022.

As GMK Center reported earlier, Eurozone GDP in April-June 2023 increased by 0.3% compared to January-March 2023. Compared to the second quarter of 2022, the economy of the Eurozone grew by 0.6%.

The economy of the European Union in April-June 2023 did not change compared to the first quarter of 2023. In annual terms, EU GDP grew by 0.5% in the second quarter.