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Eurozone inflation soars to 3% as Iran war drives up energy prices

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Inflation across the eurozone has soared to 3% this month as the Iran war drove up energy prices and growth stumbled. Consumer prices rose by 3% in the year to April across the single currency bloc, data from the statistics body Eurostat showed on Thursday morning, up from 2.6% in March and 1.9% in February. That took inflation further above the 2% target set by the European Central Bank , which is scheduled to set eurozone interest rates on Thursday afternoon. Energy prices across the euro area surged by 10.9% year on year, up from 5.1% in March. Services inflation slowed to 3.0%, while food, alcohol and tobacco prices rose by 2.5% and industrial goods prices increased by 0.8%. Eurostat also reported that growth across the eurozone slowed to 0.1% in the first quarter, down from 0.2% in the previous three months. Among individual countries, Germany beat forecasts with 0.3% growth in the first quarter of this year.…

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