The final figure of March euro zone CPI inflation showed an upward revision compared to the first estimate. The headline figure was revised from 2.6% Y/Y to 2.7% Y/Y, compared to a reading of 2.4% Y/Y in February. Core inflation, which excludes food and energy, surprised on the upside too, rising from 1.0% Y/Y to 1.3% Y/Y, while the consensus was looking for a rise to only 1.1% Y/Y. The breakdown shows that upward price pressures were led by sharp increases in prices of clothing (15.1% M/M), energy (2.5% M/M) and transport (1.3% M/M), but upward price pressures were broad-based as only communication (-0.2% M/M) and recreation and culture (-0.2% M/M) became cheaper in March. After an unexpected decline in February, core inflation is now at the highest level 1.5 year, which might indicate that we are starting to see the effects of higher energy prices.