Overall inflation in the Euro Area has declined 0.6% so far this summer. Leading these lower prices has been: the Czech Republic (inflation -1.4%), Spain (-1.3%), Italy (-1.2%), Great Britain (-0.8%), and France (-0.6%). Only Germany has seen an uptick in inflation, German Inflation +0.3%.
Overall inflation in the Euro Area was -0.6%.
We note that the lower trend in inflation reflects a lower cost for oil and gas. In the chart below you’ll note that Brent Sea Crude has declined by 9% from April to May this year.
Brent Crude (blue, left scale), Euro Area Inflation (red, right scale)