European Consumer Prices Fell More Than Estimated in July

Prices in the 16-member euro region fell 0.7 percent from the year-earlier month after declining 0.1 percent in June, the European Union statistics office in Luxembourg said today. The decline exceeded the 0.6 percent estimate published on July 31 and the median forecast of 30 economists surveyed byBloomberg News. In the month, prices declined 0.7 percent. Companies from Carrefour SA to Unilever have offered discounts to encourage consumers to spend just as a 39 percent drop in oil prices over the past year is pushing down inflation. The European Central Bank on Aug. 6 kept its Key interest rate at a record low to support the economy, with President Jean-Claude Trichet saying inflation will turn positive later this year.