According to the Statistical Office of the European Union, in July consumer prices in the eurozone increased by 5.3% in annual terms. This suggests that inflation has significantly decreased compared to 5.5% in June, and reached the lowest level since January of the previous year. Preliminary and final July estimates, as well as analysts' forecasts, coincided. In particular, energy prices in July decreased by 6.1% compared to a year earlier after a decrease of 5.6% in June. The growth of prices for food, alcoholic beverages and tobacco slowed to 10.8% from 11.6% in the previous month. Meanwhile, service sector inflation increased to 5.6% from 5.4%. The core inflation index (CPI Core index excluding food and energy prices) in July was 5.5%, which coincided with experts' expectations. This index has not changed compared to June. On a monthly basis, consumer prices in the eurozone decreased by 0.1%, confirming previous forecasts.
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