Price pressures across the euro area accelerated again in May, as the disruptions from the Strait of Hormuz blockade continued to ripple through energy markets, pushing inflation to its highest level in almost three years and cementing expectations of an imminent European Central Bank rate hike.
Euro area annual inflation rose to 3.2% in May, up from 3.0% in April, according to Eurostat's flash estimate published on Tuesday. The figure matched economists' forecasts and marked the highest inflation reading since September 2023.
