- Prior +6.1%
- Core CPI +5.4% vs +5.5% y/y expected
- Prior +5.3%
The good news here is that headline annual inflation has declined further on the month, even when accounting for the higher base effects in Germany. However, core inflation remains stubbornly high and that is also particularly evidenced when we saw the Spanish report earlier here. The euro might respond a little to the headline figure but don't expect the ECB to relent whatsoever on their hawkish posture considering what we're seeing in the core figure (in bold).
