• Eurozone inflation arrives at 9.9% YoY in September, revised down.
• Monthly HICP in the bloc rises by 1.2% in September.
• EUR/USD keeps a range around 0.9820 on the mixed Eurozone data.

Eurozone’s Inflation surged 9.9% in September, on an annualized basis, according to Eurostat’s final reading of the Eurozone Harmonised Index of Consumer Prices (HICP) report for the month.

The reading missed expectations of 10.0% while against the 10.0% previous. Core figures rose by 4.8% YoY, meeting the 4.8% market estimates and 4.8% last.       

The bloc’s HICP rose by 1.2% MoM versus 1.2% expected and 1.2% first estimate.

The core HICP numbers came in at 1.0% MoM versus 1.0% expected and 1.0% previous.

Key details (via Eurostat):

“The lowest annual rates were registered in France (6.2%), Malta (7.4%) and Finland (8.4%). The highest annual rates were recorded in Estonia (24.1%), Lithuania (22.5%) and Latvia (22.0%). Compared with August, annual inflation fell in six Member States, remained stable in one and rose in twenty.”

“In September, the highest contribution to the annual euro area inflation rate came from energy (+4.19 percentage points, pp), followed by food, alcohol & tobacco (+2.47 pp), services (+1.80 pp) and non-energy industrial goods (+1.47 pp).”

FX implications:

At the press time, EUR/USD is trading at 0.9815, down 0.38% on the day. The inflation data weighed slightly on the shared currency, as the downward revision to the annualized inflation could temper super-sized ECB rate hike expectations.