ZURICH (MaceNews) – Consumer prices in the Eurozone are expected to rise 4.9 percent in November from a year ago, exceeding economists’ expectations according to preliminary HICP data released today by Eurostat.
Economists had been expecting a price increase of 4.4 percent compared to year ago, according to the median of an Econoday survey of economists’ forecasts.
Energy prices rose 27.4 percent in November from year- ago levels, accelerating from the 23.7 percent gain in October. Excluding these prices, inflation was up 2.5 percent in November from a year ago, Eurostat said.
The narrow core measure which excludes, energy, food, alcohol and tobacco increased 2.6 percent over year-ago levels in November, up from the 2.0 percent annual pace seen in October.
Price increases are also higher due to a base effect because the index levels of a year ago were depressed because of the Covid pandemic.
In an interview on Monday with Germany’s ZDF broadcaster, European Central Bank governing council member Isabel Schnabel said that November is likely to be the high point of inflationary pressures which will abate in coming months.
She also warned against raising interest rates too soon and expects that inflation won’t continue at the same pace.
Preliminary annual inflation by major sector in November:
- Food, alcohol & tobacco +2.2% Y/y vs 1.9% in Oct.
- Energy +27.4% Y/y vs 23.7% in Oct.
- Non-energy industrial goods +2.4% Y/y vs 2.0% in Oct.
- Services +2.7% Y/y vs 2.1% in Oct.
Preliminary annual inflation by major economy in November:
- Germany +6.0% Y/y vs +4.6% in Oct.
- France +3.4% Y/y vs +3.2% in Oct.
- Italy +4.0% Y/y vs +3.2% in Oct.
- Spain + 5.6% Y/y vs +5.4% in Oct.
- Netherlands +5.6% Y/y vs +3.7% in Oct.
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