Consumer inflation expectations in the eurozone declined for a third consecutive month in July, according to the European Central Bank’s latest survey released on Friday.
The median projection for inflation over the next 12 months fell to 2.9% from 3.0% in June, the ECB’s Consumer Expectations Survey showed. Expectations for the three-year horizon also eased to 2.7% from 2.8%, while the five-year outlook remained steady at 2.4%.
Despite the sequential declines, consumers continue to anticipate price growth above the ECB’s 2% target. The survey results follow the central bank’s decision to raise interest rates in June, with further tightening expected in subsequent months to address persistent inflationary pressures in the energy sector amid geopolitical tensions.
The ECB’s consumer survey, conducted monthly, provides insight into household perceptions of inflation trends and economic conditions across the 20-nation euro area.
