So this just in, while Europe and the world are waiting daily to see what happens with the euro and if the ongoing economic crisis will take a turn for the worse, Reuters has reported from Brussels that inflation in the euro zone has taken a higher leap than expected this August. According to the story, this may hold the European Central Bank (ECB) back from further lowering interest rates during a meeting next week.
So this just in, while Europe and the world are waiting daily to see what happens with the euro and if the ongoing economic crisis will take a turn for the worse, Reuters has reported from Brussels that inflation in the euro zone has taken a higher leap than expected this August. According to the story, this may hold the European Central Bank (ECB) back from further lowering interest rates during a meeting next week.
Various statistics about the European Union, as well as sources from the EU Statistics Office calculated that in the 17 countries using the euro, consumer prices rose by 2.6% year after year. An acceleration from 2.4% took place in July, beating market expectations of a 2.5% spike. From 3% in November 2011 to 2.4% in May and the next two months, the inflation rate has been falling. Due to the sovereign debt crisis, the economy in the euro zone has slowed down.
The ECB's goal is to keep the inflation level below or not higher than 2%. Economists and specialists are divided in their opinion if cut rates should be expected in September to push the economy.
Stephanie Kopf writes for the blog Trenditionist
She has lived in Siberia, New York City and Germany. Her subject areas include anything related to the human psyche, European news, education, communication in all its forms, as well as the interaction of all of these with each other.