Reported 4 months ago
In May, inflation in Europe increased to 2.6%, surpassing expectations, due to a spike in consumer prices. This is not expected to prevent the European Central Bank from initiating an interest rate cut next week, potentially preceding the U.S. Federal Reserve in reducing borrowing costs. Although the higher inflation makes a follow-up cut in July less likely, concerns about economic growth have emerged as inflation nears the ECB's 2% goal. ECB officials are considering a rate cut while aiming to balance inflation control and stimulating growth.
Source: YAHOO