Eurozone April preliminary CPI +2.4% vs +2.4% y/y expected

Prior +2.4%Core CPI +2.7% vs +2.6% y/y expectedPrior +2.9%

The headline reading is in line with estimates with only core annual inflation being a slight beat. That being said, it is still down from 2.9% in March and reaffirms that price pressures are still largely moderating. The bigger question will be whether or not inflation will stabilise just above 2% in the months ahead. But for now, it won’t distract the ECB from cutting rates in June at least.

This article was written by Justin Low at www.forexlive.com.