Eurozone set to slide into deflation

October 7th, 2009 On the Call: Costco Wholesale CFO Richard GalantiAs consumers have limited their spending, retailers have become increasingly competitive to lure them into their stores — typically focusing on value to draw the cost-conscious. At the same time, retailers are seeing prices drop on some items as manufactures adjust to lower demand, lower input prices and other factors.

October 7th, 2009 BRUSSELS - The European Union's economy contracted by a worse-than-expected 0.3 percent in the second quarter, according to final Eurostat estimates out Wednesday. The European statistical office had previously estimated a fall in the bloc's gross domestic product of 0.2 percent.

September 30th, 2009 Euro inflation sinks to minus 0.3 pctBRUSSELS — Yearly inflation in the 16 nations that use the euro slipped deeper into negative territory in September, sliding to minus 0.3 percent from minus 0.2 percent in August, according to the EU statistics agency Eurostat. Eurozone inflation has fallen for four straight months as energy costs plunged from record highs in July 2008.

September 1st, 2009 BERLIN - Unemployment in the 16-member eurozone hit a 10-year high in July, data released Tuesday showed. The European Union's statistics office Eurostat said that another 167,000 people were unemployed in the eurozone during July, pushing the jobless rate up to 9.5 percent from 9.4 percent June.

August 21st, 2009 BERLIN - The economic gloom which descended on Europe over the last 12 months is slowly continuing to lift, with key surveys released Friday showing industry confidence gaining ground this month. The economics research group Markit said its composite purchasing managers' index (PMI) for the 16-member eurozone showed the currency bloc's economy edging its way towards expansion this month after posting its seventh consecutive rise.

August 18th, 2009 On the Call: Target CEO Gregg SteinhafelNEW YORK — Deflation is creeping in, helping to depress stores' total sales figures but bringing shoppers lower prices on clothing and groceries. During a conference call with investors Tuesday after releasing second-quarter results, Target CEO Gregg Steinhafel said his company hopes to benefit from the trend.

August 13th, 2009 BRUSSELS - Europe's economy remained stuck in recession, with second quarter figures out Thursday showing gross domestic product (GDP) contracting by 0.3 percent in the European Union and by 0.1 percent in the eurozone on the quarter. The flash estimates by the European statistical office Eurostat dashed hopes of an earlier-than-expected recovery after two of the EU's biggest economies - Germany and France - posted positive GDP figures.

July 31st, 2009 BERLIN - Inflation in the 16-member eurozone tumbled deeper into negative territory in July, data released Friday showed, presenting the European Central Bank (ECB) with a fresh challenge as it attempts to spur growth in the currency bloc's economy. The European Commission's statistics office Eurostat's preliminary figures showed consumer prices fell more than forecast from minus 0.1 percent in June to minus 0.6 percent this month.

June 30th, 2009 BERLIN - Inflation in the 16-member eurozone has slipped into negative territory for the first time since the currency bloc was formed a decade ago, data released Tuesday showed. After sliding to zero in May, annual seasonally adjusted inflation in the 16-member eurozone dipped to minus 0.1 percent in June, the European Commission's statistics office Eurostat said.

June 16th, 2009 Wholesale inflation up less than expected in MayWASHINGTON — Wholesale prices rose less than expected in May as a drop in food costs helped keep overall prices down. The Labor Department said Tuesday that the Producer Price Index increased by a seasonally adjusted 0.2 percent from April.

April 9th, 2009 NEW DELHI - India's annual rate of inflation fell marginally to 0.26 percent for the week ended March 28, from 0.31 percent the week before, official data showed Thursday. The inflation had declined for eight consecutive weeks to 0.27 percent for the week ended March 14, but marginally rose to 0.31 percent for the week ended March 21.

April 2nd, 2009 NEW DELHI - India's annual rate of inflation rose marginally to 0.31 percent for the week ended March 21, after declining for eight consecutive weeks, official data showed Thursday. The inflation rate was 0.27 percent the week before.

March 26th, 2009 NEW DELHI - With India moving towards deflation, demand creation will be a major challenge for policymakers as well as industry, a leading industry lobby group said Thursday. 'With inflation at 0.27 percent - the lowest in the last 30 years - it's clear now that India is fast heading towards deflation,' Associated Chambers of Commerce and Industry of India (Assocham) president Sajjan Jindal said.

March 16th, 2009 NEW DELHI - The Indian economy is headed towards deflation, which could raise unemployment, even as its central bank, the Reserve Bank of India (RBI), was expected to cut the cash reserve ratio by some 150 basis points, says Goldman Sachs. The global consultancy has made the prediction based on the weekly movement of the official wholesale price index, as per which the country's annual rate of inflation fell to a six-year low of 2.43 percent for the week ended Feb 28.

February 12th, 2009 BRUSSELS - The economies of the European Union (EU) and the eurozone both posted worse-than-expected quarterly drops of 1.5 percent in the final three months of 2008, the EU's statistics office, Eurostat, said Friday. According to Eurostat's preliminary estimate, fourth quarter gross domestic product (GDP) also shrank year-on-year by a seasonally-adjusted 1.2 percent in the 15-member eurozone and by 1.1 percent in the 27-member EU.