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Updated · investinglive.com · Jun 29Spain Holds June Inflation at 3.2% as EU-Harmonised Rate Stays at 3.6%
1 articles · Updated · investinglive.com · Jun 29Summary
- Spain’s preliminary June CPI held at 3.2% year on year, above the 3.0% expected, while the EU-harmonised HICP stayed at 3.6% versus a 3.4% forecast.
- Core inflation eased only slightly to 2.9% from 3.0%, suggesting underlying price pressures remain sticky despite the small annual dip.
- Monthly data reinforced that picture, with headline prices up 0.6% and core prices up 0.4% in June.
- Core inflation is still running above December’s 2.6%, leaving Spain’s price trend firm and adding to the case for continued ECB vigilance.
Insights
Can Spain's economy withstand both the global energy shock and the ECB's policy response? As prices stay high, is a damaging wage-price spiral the next threat for Europe? Are the ECB's rate hikes the right tool to fight inflation caused by a distant war?