Eurozone inflation slowed to 5.3% in July

Inflation in the Eurozone slowed down to 5.3% y/y in July 2023. Inflation in Europe thus slowed for the third month, reaching its lowest level since January 2022. This is evidenced by the previous data of Eurostat. In June 2023, this indicator was 5.5%, in July – 6.1%, and in April – 7%.

The July indicator meets the expectations of Trading Economics analysts.

At the same time, annual core inflation, which excludes energy and food costs, stabilized in July at the June level of 5.5%. Energy prices decreased by 6.1% compared to a 5.6% decrease in June 2023.

The lowest inflation rates were recorded in Belgium (1.6%), Luxembourg (2%) and Spain (2.1%), the highest – in Slovakia (10.2%) and Croatia (9%). In Germany it was 6.5%, in France – 5%, in Italy – 6.4%.

As GMK Center reported earlier, inflation rates in the eurozone in June 2023 slowed down to 5.5% compared to 6.1% in May 2023. Meanwhile, annual core inflation, which excludes energy and food costs, accelerated to 5.4% from 5.3% in May.

Also, 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.