Eurozone inflation cooled more than expected in March, sustaining market speculation that the European Central Bank (ECB) might continue cutting interest rates this month. Yet, despite the headline figure easing to a four-month low, several underlying and external dynamics may complicate the ECB’s decision at its April 17 meeting.
According to Eurostat’s preliminary estimate released Tuesday, consumer prices in the euro area rose 2.2% year-over-year in March, the lowest since November 2024 and just below the 2.3% consensus forecast.
