Is eurozone inflation still falling?
Investors searching for reasons to believe central banks will start cutting interest rates sooner rather than later could be encouraged by a further drop in eurozone inflation when the latest price data is released on Thursday.
The harmonised index of consumer prices in the 20 countries that share the euro is set to fall from 2.9 per cent in October to 2.8 per cent in November, according to economists’ forecasts compiled by LSEG.
“We expect lower core inflation to be the main driver of lower headline with both goods and services inflation likely [to be] lower,” said UBS economist Anna Titareva, forecasting the core rate, excluding energy and food, would drop from 4.2 per cent to 3.7 per cent.