The annual inflation rate in the Eurozone dropped by half a percentage point to 2.4% in November. The figures, released in a quick estimate by the European statistical office Eurostat on Thursday, represented a more significant drop than analysts had predicted. They had anticipated a decrease to 2.7%.
The energy price significantly contributed to the decline, which fell by 11.5% year-on-year (compared to 11.2% in October). However, costs for other items in the consumer basket increased: food, alcohol, and tobacco became 6.9% more expensive (compared to a 7.4% increase in October), and service costs rose by four percent.
A noteworthy decline was also reported in core inflation, which excludes energy and food. This indicator, closely watched by the European Central Bank (ECB), fell from 4.2% to 3.6%, as reported by Reuters.
Every month, the prices of food, alcohol, and tobacco increased by 0.4%, energy prices decreased by 2.2%, and service prices increased by 0.9%.
The data points to a complex economic picture in the Eurozone, with multifaceted and diverse factors driving inflation. This situation will remain a key focus for the ECB and financial analysts in the coming months.