In June, inflation was 2.5 percent. Analysts had on average calculated that it would remain at that level in July, according to Bloomberg.
Mainly higher energy prices are behind the inflation being pushed up to 2.6 percent in July.
The underlying inflation – where energy and certain food prices have been excluded – was unchanged at 2.9 percent. It was slightly higher than expected, which was at 2.8 percent.
The market believes that the ECB will follow up its June interest rate cut with a new one in September. But the inflation setback now raises doubts.
Investors are counting on at least two cuts before the end of the year.
The latest figures from Eurostat come shortly after several major euro countries separately reported a mixed inflation picture. In Germany, price increases accelerated unexpectedly, while they were dampened in Spain. Even in France and Italy, price pressure increased.
