Eurozone Inflation Fluctuates Ahead of ECB Rate-Hike Meeting.

Eurozone services inflation rose to a new record of 5.2% in April, according to preliminary data from Eurostat, indicating that inflation has now deeply entrenched itself in the economy. The majority of consumer spending goes to services, which include essentials such as healthcare, education, housing, and insurance. The "core" Consumer Price Index without energy was 7.5%, nearly four times the ECB's target of 2%. The overall CPI rate re-accelerated to 7.0% in April compared to a year ago, and food inflation slowed to 13.6%. ECB President Christine Lagarde is expected to address the issue of services inflation at the upcoming ECB policy meeting.