Inflation & Prices

Euro-Area Core Inflation Hits Record, Backing Case for ECB Hikes

  • Consumer prices rise 6.9% on year, core inflation at 5.7%
  • ECB rate-setters have zeroed in on underlying price trends

Customers shop for groceries inside a grocery store in Paris. 

Photographer: Cyril Marcilhacy/Bloomberg
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Underlying inflation in the euro area hit a record in March, handing ammunition to European Central Bank officials who say interest-rate increases aren’t over yet.

The rise to 5.7% in the core price reading, which strips out volatile items like fuel and food costs, came alongside a record plunge in headline inflation to 6.9% from 8.5% in February.