Key market gauge of long-term euro zone inflation at lowest since late 2016

LONDON (Reuters) - A key gauge of the market's long-term expectations for inflation in the euro zone dropped on Tuesday to its lowest level since late 2016, in a further sign that weak economic data globally is weighing on the inflation outlook.

The five-year, five-year breakeven forward, a key market gauge tracked closely by the European Central Bank, fell to as low as 1.5059 percent. The ECB targets inflation at close to 2 percent.

(Reporting by Dhara Ranasinghe)