Eurozone Inflationary Pressures Rising
Inflationary pressures are rising in the eurozone, suggesting the European Central Bank's trillion-euro bond buying programme is having the desired effect, an indicator designed to predict cyclical trends showed on Friday. The Eurozone Future Inflation Gauge (EZFIG), a measure of the outlook for inflation published by the Economic Cycle Research Institute, rose to 99.7 in April from March's 99.1. "The EZFIG inched up once more, reaching a 46-month high in April. Thus, eurozone inflation will likely rise further in the months ahead," said Lakshman Achuthan, ECRI's chief operations officer. Inflation returned to the bloc last month with a higher than expected 0.3 percent increase in consumer prices after five months of falls and stagnation, official data showed on Tuesday.