Euro zone inflation was revised up to 0.1 per cent in October, the EU’s statistics agency said on Monday, pushed into positive territory by price increases for fruit and vegetables.
Eurostat had previously estimated a zero rate of inflation in October after consumer prices in the 19 countries sharing the euro fell by 0.1 per cent year-on-year in September.
Monthly inflation was steady in October at 0.1 per cent.
Economists polled by Reuters were expecting zero inflation, in line with the flash estimate, and a 0.1 per cent month-on-month reading.
Excluding the most volatile components of unprocessed food and energy - what the European Central Bank calls core inflation - prices were 1 per cent up year-on-year, from 0.8 per cent in September. Month-on-month, they rose 0.2 per cent in October.
Despite the return to positive inflation, euro area prices remain subdued, keeping pressure high on the European Central Bank to ease monetary policy further.
The ECB wants to keep inflation below, but close to 2 per cent, over the medium term and in March launched a government bond buying programme to flood the euro zone economy with cash and in this way accelerate price growth. Inflation is now stifled by weak economic growth and very cheap energy.
The main factor that kept prices from rising further in October remained energy, the cost of which was 8.5 per cent lower than 12 months earlier. The decline was, however, less than the September reading of minus 8.9 per cent.
Food, alcohol and tobacco prices rose 1.6 per cent in October year-on-year, and inflation in the services sector went up 1.3 per cent. Unprocessed food prices were 3.2 per cent higher year-on-year, with vegetables up 9.4 per cent and fruit 6.2 per cent higher.
