LONDON (Reuters) - A key market gauge of long-term inflation expectations in the euro area fell to its lowest level in more than three months on Monday, extending recent falls as investors scale back expectations for a pick up in price pressures in the bloc.
Data last week showed inflation in the euro area slowed to a 14-month low in February to 1.2 percent.
The five-year, five-year breakeven inflation forward, tracked by the European Central Bank, fell to 1.6934 percent EUIL5YF5Y=R, its lowest level since late November. The ECB targets inflation at close to 2 percent.
Reporting by Dhara Ranasinghe, editing by Fanny Potkin