The Eurozone Harmonized Index of Consumer Prices (HICP) rose 2.5% in the year through June, higher than a 2.6% growth registered in May, the official data released by Eurostat showed Tuesday. The market forecast was for a 2.5% increase in the reported period.

The Core HICP inflation dipped to 2.8% YoY in the same period, as against May’s 2.9% increase and the estimated 2.8% print.

The European Central Bank’s (ECB) inflation target is 2.0%. The old continent’s HICP inflation data have a significant impact on the market’s pricing of the ECB's second interest rate cut.