Summary
Eurozone inflation rose to 2.3% in November, up from 2% in October, exceeding the European Central Bank’s (ECB) 2% target.
Core inflation remained steady at 2.7%, while energy prices dropped 1.9% but were offset by a 3.9% rise in services costs.
Despite the uptick, inflation is far below its 2022 peak of 10.6%.
Markets expect the ECB to cut interest rates by 0.25% in December, prioritizing economic growth over inflation control amid forecasts of modest GDP growth for 2023 (0.8%) and 2024 (1.3%).