Headline inflation came in at 9.2% year-on-year in December, according to preliminary data. It follows November's headline inflation rate of 10.1%.
Despite further signs that inflation is easing, analysts say it is too early to celebrate and do not expect a pivot from the region's central bank.
The euro area economy has come under immense pressure in the wake of Russia's invasion of Ukraine in February 2022, with energy and food costs soaring last year. In an effort to battle rising prices, the European Central Bank increased interest rates four times in 2022 and said it is likely to continue doing so this year. The bank's main rate currently sits at 2%.
The ECB also said in December that it will start reducing its balance sheet in March at a pace of 15 billion euros per month until the end of the second quarter. This step is also expected to address some of the region's inflationary pressures., 6.3% for 2023 and 3.4% for 2024. The bank's mandate is to work toward a headline inflation figure of 2%.
Energy costs have dropped in Europe in recent months. Natural gas prices, for instance, traded at around 72.42 euros per megawatt hour on Friday — sharply lower than their peak of 349.90 euros per megawatt hour in August.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
US NFP Preview: Headline payrolls to rise by 225K in DecemberAnalysts at Goldman Sachs offer their expectations on the first US Nonfarm Payrolls data release of 2023. The data is for December month and is due to
Read more »
Breaking: Annual HICP in euro area drops to 9.2% in December vs. 9.7% expectedInflation in the euro area, as measured by the Harmonised Index of Consumer Prices (HICP), declined to 9.2% on a yearly basis in December from 10.1% i
Read more »
UK: Public inflation expectations for 12 months ahead fall to 5.7% in December from 6.1%A monthly survey conducted by Citi and YouGov revealed on Wednesday that the British public's inflation expectations for 12 months ahead declined to 5
Read more »
Mortgage demand falls in December to the lowest level since 1996Mortgage applications fell 13.2% in the latest week, the Mortgage Bankers Association said. The average rate for a 30-year mortgage is 6.58%
Read more »
New projects in North Texas for December 30, 2022-January 3, 2023 - Dallas Business JournalHere’s a look at the latest new projects registered in North Texas with the Texas Department of Licensing and Regulation, a list of new construction, renovations and alterations in Dallas, Fort Worth and beyond. All projects listed are public records.
Read more »