According to the final data of Eurostat, in June 2023, consumer prices in the eurozone increased by 5.5% year-on-year. Thus, inflation in the region has reached a minimum since the beginning of 2022, slowing down compared to May (6.1%). The data correspond to the preliminary estimate and consensus forecast of analysts. In particular, the cost of energy carriers in the eurozone decreased by 5.6% y/y; in May, this indicator decreased by 1.8%. The growth of prices for food, alcohol and tobacco products slowed to 11.6% from 12.5% in the previous month. Inflation in the service sector accelerated to 5.4% from the previous 5%. Core inflation (CPI Core index, excluding food and energy) was revised up to 5.5% compared to the preliminary 5.4%. The growth of the CPI Core index accelerated compared to May's 5.3%. On a monthly basis, consumer prices in the eurozone increased by 0.3% relative to May, as previously announced. The European Central Bank predicts that the average inflation in the eurozone will be 5.4% in 2023, 3% in 2024 and 2.2% in 2025.
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