The eurozone's annual rate of inflation stayed well below the European Central Bank's target in June, ratcheting up the pressure on policy makers to provide more stimulus in an effort to prop up a faltering economy.

According to a flash estimate from Eurostat, the statistical office of the European Union, euro area annual inflation is expected to be 1.2% in June 2019, stable compared to May.

Looking at the main components of euro area inflation, ‘food, alcohol & tobacco’, ‘energy’ and ‘services’ are expected to have an annual rate of 1.6% in June. The annual rate of ‘non-energy industrial goods’ is expected to be 0.2%.