Eurozone inflation for the month of March solidly beat expectations, rising 2.6% year-over-year, according to the latest release from Eurostat.
Expectations were for a slight fall to 2.3%. Last month, inflation was at 2.4% annualized.
This is likely to give the ECB and its President, Jean-Claude Trichet, the impetus to raise the bank’s key rate at its next meeting, on April 7. That’s a week from today.
Trichet suggested he would do so last month, and this new data would not discourage him.