Inflation in the 20 countries that use the euro fell to 1.8% in September, below the European Central Bank’s target of 2% for the first time in more than three years

German inflation eased below the European Central Bank’s 2% target for the first time since February 2021 — supporting the case for another cut in interest rates in less than three weeks.Most Read from BloombergA 7,

At its September meeting, the ECB had cut its key deposit rate for a second time this year, taking it down to 3.50 percent from 3.75. However, Lagarde had indicated at the time that the Bank would probably wait until December before moving again, due to ongoing uncertainties around lingering inflation, especially in the services sector.

Inflation in the eurozone dropped below the European Central Bank’s target in September for the first time in more than three years, paving the way for faster interest rate cuts. Consumer prices rose 1.

Euro-area inflation slowed below the European Central Bank’s 2% target for the first time since 2021 — backing investor bets that interest rates may be lowered more quickly than previously anticipated.

Euro zone inflation dipped below 2% for the first time since mid-2021 in September, reinforcing an already solid case for a European Central Bank rate cut this month as a three-year battle to tame runaway price growth nears its end.

Eurozone inflation drops to 1.8 per cent in September; the first time it has fallen below 2 per cent since mid-2021, strengthening the expectation of further interest rate cuts by the European Central Bank (ECB) this month.