Spanish inflation falls more than expected to 2.9%

Spanish inflation has dropped to 2.9 per cent, its lowest level for almost two years, boosting hopes that price pressures will ease quickly across the eurozone.

Economists said the bigger than expected fall was good news for the European Central Bank, suggesting that inflation data for the rest of the eurozone published later this week could show a rapid deceleration in inflation across the region.

However, Spain already had one of the…