Timing of ECB rate cuts in doubt as core eurozone inflation measure disappoints

Services price inflation remains sticky

Eurozone inflation edged closer to the European Central Bank’s 2% target in January, but underlying price pressures fell by less than forecast.

According to figures by Eurostat, inflation among the 20 eurozone nations fell to 2.8% last month, down from December's 2.9%, as price growth for unprocessed food, energy and industrial goods slowed. However, underlying price growth, a closely watched measure because it excludes volatile food and energy costs, only declined to 3.3% from 3.4%, and came in above forecasts of 3.2%. ECB rate cuts needed 'sooner rather than later' as GDP flatlines Meanwhile, services inflation remained sticky at 4% for the third month running, which could point to lingering price pressures driven by sol...