Breaking: Annual HICP in euro area jumps to 10% in September vs. 9.7% expected

Inflation in the euro area, as measured by the Harmonised Index of Consumer Prices (HICP), climbed to 10% on a yearly basis in September from 9.1% in August, Eurostat announced on Friday. This reading came in higher than the market expectation of 9.7%.

The annual core HICP rose to 4.8% from 4.3%, surpassing analysts' estimate of 4.7%. On a monthly basis, the HICP and the core HICP were up 1.2% and 1%, respectively.

Market reaction  

The EUR/USD pair's initial reaction to hot inflation figures was largely muted and it was last seen rising 0.2% on the day at 0.9833.