Eurozone Inflation Surges to Another Record-High of 7.5% on Rising Energy Prices

Eurozone inflation soared to 7.5% in March, reaching another record-high, months before reaching its peak.

Source: Eurostat.

EuroStoxx50 up +0.60%,  EURUSD down -0.13%

The inflation figures come after Russia’s invasion of Ukraine has brought fresh economic uncertainty, with policymakers worried about whether the euro area will plunge into a recession in 2022.

Consumer price growth in the 19 countries using the euro rose from 5.9%% in February. The surge was far beyond estimates of 6.6%.

Inflation, excluding volatile food and fuel items, rose to 3.2% from 2.9%, while a narrower index excluding alcohol and tobacco items rose to 3% from 2.7%.

The current situation leaves the ECB with a difficult policy concern, with a target of getting inflation to 2%.