Inflation in France amounted to 0.9 per cent in March compared to the same period last year. Analysts had predicted an inflation rate of 1.1 per cent.
This means that inflation has been below the ECB's 2-per-cent target for seven months in a row. The figure for Spain in March was also lower than expected (2.2 per cent compared to expected 2.5 per cent).
The next interest rate announcement from the ECB will be made on 17 April. From a market perspective, it is now estimated that there is a 75 per cent probability of another interest rate cut following six cuts since June last year.
