Euro zone annual inflation rose in February by 2.0 percent, in line with market expectations, on a surge in energy prices as the bloc's unemployment rate remained stable, estimates from the European Statistics office showed on Thursday.
Inflation in the 19 countries sharing the euro accelerated to 2.0 percent year-on-year in February, Eurostat estimated, up from 1.8 percent in January, meeting the European Central Bank's medium-term target of below, but close to 2 percent.
But core inflation, which excludes volatile prices of energy and unprocessed food and at which the ECB looks in its policy decisions, was stable at 0.9 percent year-on-year in February, suggesting no immediate change to the central bank's bond buying programme.
Consumer prices went up mostly because of a surge in energy prices that rose 9.2 percent in February, accelerating from 8.1 percent the previous month.
Prices for food, alcohol and tobacco went up by 2.5 percent in February, Eurostat estimated. In the services sector, the largest in the euro zone economy, prices rose 1.3 percent in February, accelerating from 1.2 percent in January.
Eurostat's flash estimate for the month does not include a monthly calculation.
The increase in consumer prices mirrored a rise in industry prices.
In a separate release, Eurostat said on Thursday producer prices rose 0.7 percent in January on the month and 3.5 percent year-on-year, more than market expectations of a 0.6 percent monthly rise and a 3.2 percent increase on the year.
As for consumer prices, the rise in producer prices was driven mostly by energy prices that increased 1.8 percent month-on-month, and 9.7 percent on a yearly basis.
Unemployment in the euro zone remained stable in January at a rate of 9.6 percent, Eurostat said on Thursday in a separate release.
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