Analysts expected a more significant weakening of consumer price growth
Inflation in the euro area in February 2024 increased by 2.6% year on year, slowing down compared to January, when the figure was 2.8%. This is evidenced by preliminary Eurostat data .
Analysts polled by Trading Economics expected a more significant slowdown in consumer price growth, to 2.5%.
At the same time, annual core inflation, which excludes energy and food costs, slowed to 3.1% in February (from 3.3% in the previous month), the lowest level since March 2022. At the same time , experts expected underlying inflation to weaken. even further, to 2.9%.
Energy prices in the euro area fell 3.7% in February, compared to 6.1% in January.
At the same time, according to preliminary data from national statistical authorities, inflation in Germany slowed to 2.5% annually in February (2.9% in January), and in France, the EU's second largest economy, to 2.9% year-on-year after 3.1% in January 2024.
As Compraço previously reported, the German government will revise its forecast for GDP growth in 2024 to 0.2% annually, compared to the 1.3% previously expected. Last year, Germany's economy shrank by 0.3% compared to 2022, raising concerns about its deterioration.
Furthermore, analysts expect global GDP to grow between 2.1-2.9% in 2024. They predicted an easing of monetary policy, lower inflation and elevated uncertainty. The European economy demonstrated sufficient resilience last year, but lost growth. Inflation continues to be one of the main challenges for Europe,
