EUR/USD in focus as Eurozone CPI jumps to 3.8% on energy price surge

The source reports no price move, pip figure or technical levels for the euro. Eurozone preliminary CPI for September rose to 3.8% year-on-year, above the 3.6% consensus and up from 3.2% in the prior reading. Core CPI came in at 2.5% y/y, matching expectations and edging up from the prior 2.4%. Energy prices were the main driver of the headline beat. They jumped 18.8% in September, accelerating from a 14.3% rise the month before. Food and services inflation also increased. The data confirms that euro-area inflation continued to climb at the end of the third quarter. However, the in-line core reading suggests the upside surprise is concentrated in energy rather than in broad underlying price pressure. For EUR/USD traders, the headline overshoot adds to the inflation backdrop that could shape European Central Bank policy expectations. The unchanged-to-forecast core figure may temper the euro-supportive read of the release.