The Consumer Price Index (CPI) of the eurozone came in below expectations in August, after the revised data showed that inflation rose by a smaller 0.1 percent against the flash estimate of a 0.2-percent increase.
Inflation
The European Central Bank (ECB) responded to macroeconomic pressures and the eurozone economy’s weak outlook by cutting benchmark interest rates by 10 basis points. Concluding the monetary-policy meeting in Frankfurt last month, the governing council announced a reduction in interest rates on the deposit facility
The Federal Open Market Committee (FOMC) of the US Federal Reserve System (the Fed) will be heading into its fifth monetary-policy meeting for the year on July 30, with markets keenly eyeing the outcome, in spite of the majority of market indicators already pricing in a rate cut.
The Reserve Bank of Australia (RBA), in its monetary-policy statement published on May 10, indicated that the Australian economy is witnessing subdued growth in household income and that the adjustment in the housing market is taking a toll on consumer spending.