Eurozone Inflation Surges to Three-Year High of 3.8%

Eurozone annual inflation accelerated to 3.8% in September, surpassing market forecasts and marking its highest level in three years, according to data released Friday. The reading comes in above the 3.6% consensus estimate and represents a notable increase from the 3.2% recorded in August.

The spike well exceeds the European Central Bank’s 2% target. Core inflation, which strips out volatile food and energy prices, stood at 2.5%, matching expectations.

Analysts attribute the upward pressure primarily to soaring energy prices, a consequence of the ongoing conflict in the Middle East. The figure adds to economic concerns as the region grapples with renewed price pressures just as policymakers sought to maintain stability.