The Eurozone’s annual inflation rate dropped to 2.2% in August, the lowest since July 2021, down from 2.6% in July. This aligns with the preliminary estimates. The largest inflation drivers were services (up 4.1%) and food, alcohol & tobacco (up 2.3%), while inflation for non-energy industrial goods slowed to 0.4%. Energy prices notably fell by 3%. The core inflation rate, which excludes volatile items like energy, dipped slightly to 2.8% from 2.9%. The Consumer Price Index also rose by 0.1% month-over-month in August.
