Annual inflation in the Euro area accelerated to a decade high in August, driven mainly by higher prices of energy and food during the month.
The Euro area annual inflation climbed to 3.0% in August from 2.2% in July, up from the -0.2% the same the month the previous year. This marks the fastest rate in 10 years.
Annual inflation in the European Union likewise grew to 3.2%, up from 2.5% in July and 0.4% recorded in August 2020. The highest rates were in Estonia, Lithuania, and Poland, all with 5.0%.
Major contributors to the increase were prices of energy which climbed 1.44 percentage points, followed by non-energy industrial goods which grew 0.65 percentage points, and food, alcohol and tobacco, and services which both gained 0.43 percentage points.
Compared with July figures, annual inflation accelerated in 26 member states and remained stable only in Austria.
EURUSD is slightly down -0.06% today.