Euro area annual inflation is expected to be 2.0% in August 2018, down from 2.1% in July 2018, according to a flash estimate from Eurostat, the statistical office of the European Union. Looking at the main components of euro area inflation, energy is expected to have the highest annual rate in August (9.2%, compared with 9.5% in July), followed by food, alcohol & tobacco (2.5%, stable compared with July), services (1.3%, compared with 1.4% in July) and non-energy industrial goods (0.3%, compared with 0.5% in July).