Survey: Eurozone inflation rate expected to rise to its highest level since 2023

The inflation rate in the Eurozone may surge this month to the fastest pace since 2023, continuing to put pressure on policymakers to raise interest rates. According to the median forecast of a survey of 31 economists, consumer prices are expected to rise by 3.3% year-on-year in August, up from 2.9% in July. Separate indices for Germany and Italy are also expected to show similar acceleration, mainly driven by rising energy costs due to ongoing Middle East tensions. These results will follow the release of data from two other major economies in the Eurozone on Friday. Spain’s inflation soared to more than double the European Central Bank’s 2% target, and France’s numbers also exceeded expectations.