Euro Area Inflation Rises to 2.1% in August

story

3 days ago

Above: A photo illustration of euro coins stacked upon one another. Image copyright: SimpleImages/Getty Images

story last updated 3 days ago

The Spin

Narrative A

The slight uptick in inflation to 2.1% demonstrates that the ECB's successful monetary policy framework is working precisely as intended. Overall, the EU is in a good place, with core inflation holding steady and the economy proving resilient. The ECB's wait-and-see strategy, therefore, is clearly the right approach.

European Central Bank ING Think

Narrative B

The European economy remains desperately lacking. Despite the measured headline, inflation for essential costs such as food and services remain well above the 2% target. With low growth and an overly-cautious ECB, the continent lacks the economic dynamism needed to make up for years of tepid decline.

ETUC X