Excluding food and energy, so-called core inflation rose 4.8 percent in the year to September, up from 4.3 percent the previous month.
Ms. Reichlin added that there was still a lot of uncertainty about how inflation would play out in the coming months, “because the economy will slow down in the future and that will put downward pressure on inflation.”
Pantheon Macroeconomics, a research firm, noted that government policies designed to manage rising energy costs would also be “a key game changer” influencing prices over the next six months.
Inflation has been eating away not only the economy of Europe, but also that of the whole world. Supply chain delays and disruptions stemming from the coronavirus pandemic, and the surge in activity that accompanied the reopening of economies, have pushed prices higher. The high cost of energy and food that followed the Russian invasion of Ukraine also fueled inflation, with sanctions imposed by Europe, the United States and their allies accelerating it.
The European Central Bank has been aggressively raising rates in hopes of stemming inflation across the eurozone. On Thursday, ECB policymakers indicated that they are likely to approve another interest rate hike of three-quarters of a percentage point at their next meeting in late October.
Europe’s transition from Russian energy is expected to be a slow process, keeping oil, gas and electricity prices at painful levels for years. There is little the central bank can do to counter significant energy shortages like the one Europe is experiencing, said Sven Smit, president of the McKinsey Global Institute. Higher interest rates can’t suddenly generate more supply, he said, so prices will stay high.
In the United States, a measure of annual inflation slowed in August to 6.2 percent from 6.4 percent the previous month, according to data released on Friday. The lower rate reflected a decline in US gasoline prices.