Euro zone inflation slows to 2.5% in June

The euro zone's annual rate of inflation cooled in June in line with analysts' expectations thanks to a slowdown in food and energy price rises, official data showed today.

Core inflation, which strips out volatile energy, food, alcohol and tobacco prices and is a key indicator for the bank, was unchanged at 2.9% in June. Experts had expected it to cool to 2.8%. "We will not rest until the match is won and inflation is back at 2%," she added in a speech in Portugal.

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