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Eurozone Inflation Surges to 1.9% in February 2026, Defying Expectations
The euro area’s annual inflation rate jumped to 1.9% in February 2026, up from 1.7% in January and above market forecasts. While the overall level is the lowest in 16 months, price pressures are re‑emerging, especially in services and industrial goods, and core inflation climbed back to 2.4% after a four‑year trough. Country‑specific CPI data shows a sharp acceleration in France, Spain and Italy, while Germany’s inflation eased slightly. Energy prices continue to fall but at a slower pace, and food‑related prices stayed flat.
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Eurozone inflation rebounds in February
According to the preliminary flash estimate, the annual inflation rate in the euro area reached 1.9 % in February 2026, up from 1.7 % in January. This marks the lowest level in 16 months but still above the market consensus of 1.7 %.
Where the pressure is coming from
Price growth accelerated in several components:
- Services: inflation rose to 3.4 % from 3.2 %.
- Industrial goods (excluding energy): up to 0.7 % from 0.4 %.
- Energy: prices kept falling but at a slower pace, down 3.2 % versus 4.0 % in January.
- Food, alcoholic drinks and tobacco: remained steady at 2.6 %.
Underlying inflation
The core inflation rate, which strips out energy, food, alcohol and tobacco, jumped to 2.4 % after hitting a four‑year low of 2.2 % in January.
Country‑level CPI movements
Among the major euro‑area economies, the Harmonised Index of Consumer Prices (HICP) showed differing trends:
- France: +1.1 % in February versus +0.4 % in January.
- Spain: +2.5 % vs +2.4 %.
- Italy: +1.6 % vs +1.0 %.
- Germany: a modest slowdown to 2.0 % from 2.1 %.