Eurozone inflation rose slightly to 2.0% in June 2025, reaching the European Central Bank's (ECB) inflation target for the first time since January. Official data confirmed that the annual consumer price index (CPI) increase aligned with analyst forecasts, marking a modest uptick from previous months. Inflation remained stable at 2.0% in July, maintaining the ECB's medium-term target. This stability supports the ECB officials' position that there is no urgency to further lower interest rates, as the inflation rate suggests the economy is in a balanced state. The sustained inflation rate at the ECB's target level reduces the likelihood of additional interest rate cuts in the near term.