MNI: EMU Sept Headline Inflation Confirmed At 1.5%, Core Lower

--Final Eurostat Data Sees EMU September HICP At 1.5% Y/Y

--Core Inflation Confirmed At 1.1% Y/Y vs August 1.2%

By Shaily Mittal

     LONDON (MNI) - Euro area September headline inflation remained stable

compared with the August print, while the core reading, which has been

stubbornly low, further weakened, according to final data released by Eurostat

on Tuesday.

     The September headline reading of 1.5% on the year, unrevised from the

preliminary reading, in line with market expectations and unchanged from the

August level. On month, prices rose 0.4%.

     It was last in February when the headline inflation number pushed through

the European Central Bank's official inflation target for the first time since

January 2013 and since then it has been softer.

     Excluding energy, alcohol, tobacco and food, inflation was confirmed at

1.1% on the year in September, a touch below the 1.2% seen in both August and

July.

     Category data show that this month's data was driven by energy, with an

annual rate of 3.9% following on from August's 4.0% and July's 2.2%. Unprocessed

foods rose drastically to hit a four-month high of 1.5% in September from 0.6%

in the previous month.

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

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