Eurozone Inflation to Hit Record 8.9% in July, Analysts Say

MOSCOW (Sputnik) - Annual inflation in 19 eurozone countries in July is expected to accelerate to 8.9% from 8.6% a month earlier, marking a record high since the beginning of maintaining statistics, an analyst of the DailyFX portal said.

"Tomorrow brings European inflation numbers and the expectation is for another jump, this time to 8.9% from last month’s 8.6% headline read with Core CPI expected to increase to 4% from last month’s 3.7% print," senior strategist James Stanley said on Wednesday.

Official data will be published by the EU statistical office Eurostat at 09:00 GMT on Thursday.

US statistical data will also be released later in the day, including data on the number of initial applications for unemployment benefits over the week up to August 13 and housing transactions in the secondary market 9in the country.

Since 2021, energy prices in Europe have been growing as part of a global trend. Inflation accelerated across the eurozone since the beginning of the year, growing from 5.9% in February to 8.6% in June and 8.9% in July, according to Eurostat.

After the beginning of Russia's military operation in Ukraine and the adoption of several packages of sanctions against Moscow by the EU, fuel and food prices have accelerated the growth, pushing many European governments to resort to contingency measures.