The rate of Inflation of consumer prices in the Euro zone Slowed in May

Tuesday, 31 May 2011 10:32

The rate of inflation of consumer prices (CPI) annual Euro zone slowed in May. In the initial estimate, Eurostat today (31/5) announced the CPI dropped to 2.7 per cent from the previous 2.8 percent in April. Economists predict inflation may remain 2.8 percent. Thus, the recorded has been 6 months in a row, the rate of inflation is above target for the European Central Bank (ECB). As is known, the ECB target inflation was slightly below 2 percent. The beginning of April, the ECB for the first time in 3 years, raising the interest rate by 25 basis points to 1.25 percent as an effort to offset rising inflationary pressures. The ECB is believed to be at least once again raise interest rates this year. Other Data also released Eurostat showed the unemployment rate stable in the Euro zone to 9.9 percent in April. While for the EU as a whole, the unemployment rate down from 9.5 percent to 9.4 percent.