Euro area inflation inches toward 2% with focus on June cut

Consumer prices rose an annual 2.4% last month, while core inflation eased more than anticipated, to 2.9%

The report adds to evidence that policymakers are on track to return inflation to the 2% target, allowing them to soon dial back some of the restrictions needed after price gains surged into double digits. (AP Photo/Michael Probst, File)

Euro-area inflation slowed more than expected, cementing prospects for an interest-rate cut by the European Central Bank in June.

Consumer prices rose an annual 2.4% last month, down from 2.6% in February, in line with a Bloomberg Economics Nowcast model. Analysts predicted an increase of 2.5%. A measure excluding volatile items such as food and energy also eased more than anticipated, to 2.9%.