European Central Bank set to raise interest rates after inflation edges higher

People shop at a market in Versailles, outside Paris, as food inflation remains high (Christophe Ena/AP)

The inflation rate in the eurozone inched higher last month, extending the squeeze on households and keeping pressure on the European Central Bank (ECB) to announce another large interest rate increase.

Consumer prices in the 20 countries using the euro currency jumped 7% in April from a year earlier, just down from the annual rate of 6.9% in March, the European Union statistics agency Eurostat said on Tuesday.