Drop in March euro area core CPI confirmed

The cost of living in the euro area declined sharply last month as prices for unprocessed foods and energy came off the boil.

The rate of advance in the Eurozone's consumer price index fell back from 2.0% year-on-year in February to 1.5% for March, Eurostat said, confirming a previous estimate.

At the 'core' level, excluding the prices of food, energy, alcohol and tobacco, CPI was 1.4% ahead versus February, but the annualised rate dipped from 0.9% to 0.7%.

In comparison to February, energy prices were 0.8% lower while those for unprocessed food declined by 1.6%.