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Eurozone Returns to Deflation in September

The euro area’s inflation rate unexpectedly turned negative in September for the first time in six months.

Consumer prices have fallen 0.1 percent from a year earlier, according to a preliminary report published by the European Union’s statistics office on Wednesday.

Unemployment in the region remained unchanged in August at 11 percent, according to Eurostat. The declining inflation is attributed to the 8.9 percent fall in the price of energy. Deflation adds pressure on the European Central Bank (ECB) to bolster stimulus. ECB President Mario Draghi has signaled a possible expansion of its quantitative easing program to avert deflation.