Euro-area inflation slows 1.4% in March

Bloomberg

Inflation in the euro area unexpectedly slowed in March and a core measure of prices fell to the lowest in almost a year, underscoring the case for more European Central Bank stimulus.
The report, showing a headline rate of 1.4 percent and a gauge stripping out volatile components at 0.8 percent, puts the ECB further away from reaching its inflation goal. Policy makers have expressed confidence that price pressures will eventually pick up, with President Mario Draghi insisting that progress “has been delayed rather than derailed.”
Inflation in the region remains weak despite a continuous improvement in the labour market.
Unemployment in the euro-area stayed at 7.8 percent in February, the lowest in more than a decade.
The slow pass-through from employment and wage gains has been compounded by a global manufacturing shock and a general weakening in demand.