Eurozone annual inflation fell to near 5-year low
in August according to a flash estimate today from Eurostat, the statistics
office of the European Union.
Inflation is expected to be 0.3% in August 2014,
down from 0.4% in July and the lowest since October 2009.
The ECB's target rate is below but close to 2%.
Looking at the main components of Eurozone
inflation, services is expected to have the highest annual rate in August (1.2%,
compared with 1.3% in July), followed by non-energy industrial goods (0.3%,
compared with 0.0% in July), food, alcohol & tobacco (-0.3%, stable compared
with July) and energy (-2.0%, compared with -1.0% in July).
The Eurozone consists of Belgium, Germany,
Estonia, Ireland, Greece, Spain, France, Italy, Cyprus, Latvia, Luxembourg,
Malta, the Netherlands, Austria, Portugal, Slovenia, Slovakia and Finland.