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Eurozone inflation rose to 2.4% in December

2025-01-07 12:20:00, Ekonomi CNA

Eurozone inflation rose to 2.4% in December

The ECB is looking to boost the region's struggling economy by cutting rates. Eurozone inflation rose to 2.4% in December, the third increase in three months.

The figure was in line with market expectations, according to a poll of economists, and compared with November's rate of 2.2%.

The rise in inflation comes as the European Central Bank seeks to boost the region's struggling economy by cutting interest rates.

The ECB has cut interest rates four times since June and is widely expected to cut the key deposit rate from 3% later this month.

Some investors have been hoping for a big cut, to ease concerns about weak growth in the Eurozone.

However, increasing price pressures may make a smaller cut of 25 basis points more likely.

The ECB expects inflation to fall close to the 2% target this year.

German two-year bond yields, a benchmark for the Eurozone, fell 0.02 percentage points to 2.18% after the release of the figures.

European shares were little changed, with the region-wide Stoxx Europe 600 up less than 0.1%.

The euro continued its previous gains against the dollar, rising 0.3% on the day to $1,043./ Monitor Magazine





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