MNI BRIEF: Euro Area Inflation 2.1% In August

Eurozone headline inflation accelerated to 2.1% in August, up from 2% in July, according to data published by Eurostat on Tuesday.

Core inflation, closely watched by the ECB's rate setiing body, was unchanged at 2.3% year-on-year, while services inflation, seen as a gauge of domestic inflation in the economy, slowed to 3.1%.

Overralll, the data was in line with analysts' expectations and will have little impact on the thinking of ECB policymakers who expect inflation to sit nicely at the 2% target rate over the medium-term. (See MNI SOURCES: Markets Overplaying ECB's Hawkish Shift)