FRANKFURT, Germany, 1st October, 2024 (WAM) -- Inflation in the 20 countries that use the euro fell to 1.8 percent in September, below the European Central Bank's target of 2 percent for the first time in more than three years, the Associated Press reported on Tuesday.
The falling energy prices have given consumers relief from a burst of inflation that at one point reached into double digits.
Tuesday's official figure coupled with an anemic growth outlook could pave the way for faster interest rate cuts from the ECB, which has already trimmed rates twice.
Inflation fell from 2.2 percent in August, according to European Union statistics agency Eurostat. The last time inflation hit the ECB's 2 percent goal was in June, 2021 when it was 1.9 percent.
Economists have started to consider the possibility of a rate cut at the bank's 17th October meeting. A few weeks ago, the expectations were that the central bank would wait until December before lowering borrowing costs again for consumers and businesses.