Inflation in Europe eased to an annual 2.4% in February, supporting the case for another interest rate cut from the European Central Bank – but leaving open how far the central bank will go in lowering borrowing costs for an economy that’s still struggling to show robust growth. The February figure for the 20 countries that use the euro currency was down from 2.5% in January as energy inflation dwindled and major economy France saw a rate of only 0.9%, the European Union’s statistical agency Eurostat reported Monday. The lower consumer price inflation figure supports the view that the ECB is succeeding in its battle to get inflation back to its target of 2% and can focus on supporting tepid growth.
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