Eurozone inflation rose to 2.4% in December, driven by higher energy and services costs. While this exceeds the European Central Bank's 2% target, it's seen as a temporary blip and unlikely to deter further interest rate cuts.
FRANKFURT, Jan 7 - Euro zone inflation accelerated in December, an unwelcome but anticipated blip that is unlikely to derail further interest rate cuts from the European Central Bank .
The central bank cut interest rates four times last year and said its target is now within sight, so more policy easing is coming, even if the speed and timing remains subject to debate. Adding to the case for caution, a separate consumer survey from the ECB showed both near and medium-term inflation expectations rising, with figures three years ahead seen at 2.4%, well above the previous survey's 2.1% and the ECB's own target.
One reason for the more cautious market pricing is the dollar's recent strength which is making imports of key commodities more expensive, quickly feeding through to prices via more expensive energy, including car fuel.
INFLATION EUROZONE EUROPEAN CENTRAL BANK INTEREST RATES ECONOMY
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Wall St set for higher open as inflation data cements December rate-cut hopesThe Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.
Read more »
Slate Office REIT Accelerates Manager Termination, Launches RebrandingSlate Office REIT is terminating its management agreement earlier than planned, rebranding itself as Ravelin Properties REIT, and appointing a new CEO.
Read more »
Calgary Home Sales Dip in December but Remain Above Long-Term AveragesCalgary experienced a decline in home sales during December 2024 compared to the previous year, but sales remained significantly higher than historical trends. While December sales were down 2.9% year-over-year, they were still almost 20% above long-term averages. The benchmark price for all home types in December was $583,300, a slight decrease from the previous month but an increase of 3.2% compared to December 2023.
Read more »
Gold market analysis for December 12 - key intra-day price entry levels for active tradersThe Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.
Read more »
Bitcoin December 12 daily chart alert - More sideways tradingThe Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.
Read more »
U2U Network’s December Listing: Pioneering a Comprehensive Blockchain for DePINU2U Network, a leading DePIN Layer-1 platform, has announced the closure of all funding rounds in preparation for its upcoming listing...
Read more »