ZURICH (MaceNews) – Consumer prices in the Eurozone rose more than economists expected in December as energy prices continue to be the main inflation driver, according to the latest preliminary figures from Eurostat.
Prices as measured by HICP were 5.0 percent higher in December of 2021 than they were a year ago, rising from a 4.9 percent increase in November. Economists had been expecting inflation growth to moderate in December, with the median Econoday forecast calling for a 4.8 percent increase.
Narrow core inflation which excludes prices of energy, food, alcohol and tobacco rose 2.6 percent in December which matched the pace in November. As with the headline number, economists in the Econoday survey were also expecting a marginal drop to 2.5 percent year-on-year.
Year-on-year changes by major component in December:
- Food, alcohol and tobacco +3.2% Y/y vs +2.2% in November
- Energy +26.0% vs 27.5% in November
- Non-energy industrial goods +2.9% Y/y vs +2.4% in November
- Services +2.4% Y/y vs +2.7% in November
Supply bottlenecks in the industrial sector have been widely reported and are the likely contributing to price pressures there.
Year-on-year changed by major economy in December:
- Germany +5.7% Y/y vs +6.0% in November
- Spain +6.7% Y/y vs +5.5% in November
- France +3.4% Y/y vs +3.4% in November
- Italy +4.2% Y/y vs +3.9% in November
- Netherlands +6.4% in Y/y vs 5/9% in November
Final consumer prices are scheduled for release on January 20.
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