Eurozone business confidence remains high

Recovery in the eurozone remains on track and economic confidence dipped only slightly this month, according to the European Commission. Inflation remained steady at 1.9% in June, within the ECB's target range, according to a separate estimate by Eurostat, the EU's statistical office, although the central bank had originally expected inflation to fall further.

Inflation is now expected to rise back above 2% by the end of 2007 and the ECB is likely to keep raising its main interest rate. A

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