Eurozone inflation rises on energy shock, fuelling ECB rate-hike bets
Eurozone consumer prices accelerated in May on the back of a surge in energy costs, according to Investing.com. The data is reinforcing market bets on a possible rate hike at the European Central Bank's next meeting.
According to Investing.com Europe, Eurozone consumer prices accelerated in May on the back of energy-led components. The print added fresh evidence for the view that the European Central Bank could lean towards a hiking signal at its next meeting.
The upward surprise highlighted the impact of Middle East-related energy risk on European price structures. Government bond reactions were contained, while short-end yields edged higher. Bank officials have stressed a 'patient but data-driven' tone over recent weeks.
Analysts say Frankfurt's focus will be the path of core inflation and the strength of growth data. The euro received a limited tailwind after the release. Investors are now watching how upcoming labour-market and PMI readings combine to shape rate pricing.
Read next
Trump says US will hit Iran hard again today; Tehran vows to retaliate
US President Donald Trump warned Tehran would have to pay the price for taking too long to agree a deal and said fresh airstrikes are planned for today. Iran's presidency said it would retaliate against any attack.
BYD overtakes Geely as oil shock charges global EV demand; overseas deliveries jump 76%
Three Indian sailors missing after tanker Settebello hit in Gulf of Oman; Delhi summons US envoy
Trump says he loves the inflation as US consumer prices rise at fastest pace in three years
Bank of Japan governor Ueda hospitalised, will miss June meeting
