FX.co ★ Euro Zone Core Inflation Momentum Weakens Sharply in May

Month-on-month core inflation in the Euro Zone—measured by the Harmonised Index of Consumer Prices (HICP) excluding energy and food—slowed markedly in May 2026, signaling a sharp loss of price momentum in underlying inflation components. The indicator eased to 0.3% in May from 0.8% in April, according to data updated on 2 June 2026.

The data, which compare each month with the immediately preceding one, show that the strong increase recorded in April 2026 did not persist into May. While April’s 0.8% month-on-month reading had pointed to solid underlying price pressures, the drop to 0.3% suggests a more moderate pace of core price growth heading into early summer. Investors and policymakers will be closely watching whether this softer trend continues in the coming months, as it could influence expectations for future monetary policy in the Euro Zone.