{"id":108288,"date":"2025-10-31T17:38:13","date_gmt":"2025-10-31T17:38:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/108288\/"},"modified":"2025-10-31T17:38:13","modified_gmt":"2025-10-31T17:38:13","slug":"eurozone-inflation-falls-to-2-1-in-october","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/108288\/","title":{"rendered":"Eurozone inflation falls to 2.1% in October"},"content":{"rendered":"

Unlock the Editor\u2019s Digest for free<\/p>\n

Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.<\/p>\n

Eurozone inflation dipped to 2.1 per cent in October, hovering above the European Central Bank\u2019s 2 per cent target for the second month in a row.<\/p>\n

Friday\u2019s flash estimate of the annual inflation figure for October was in line with economists\u2019 forecast in an LSEG poll and below the 2.2 per cent recorded in the previous month.<\/p>\n

The data comes a day after European Central Bank president Christine Lagarde<\/a> said the outlook for inflation in the bloc was \u201cbroadly unchanged\u201d. <\/p>\n

Core inflation, excluding volatile food and energy prices, remained consistent with September\u2019s level of 2.4 per cent.<\/p>\n

The closely watched figure for services inflation \u2014 a gauge for domestic price pressures that has remained well above the ECB\u2019s 2 per cent target for more than three years \u2014 rose to 3.4 per cent, the highest level since April and 0.2 percentage points higher than in September.\u00a0<\/p>\n

Diego Iscaro, analyst at S&P Global Market Intelligence, said that the uptick in service prices was \u201clikely to give ammunition\u201d to hawkish voices on the ECB\u2019s governing council, who argue for caution.<\/p>\n

The Eurozone\u2019s third-quarter economic growth was slightly better than expected at 0.2 per cent.<\/p>\n

Lagarde highlighted the continued growth when the ECB left its benchmark interest rate at 2 per cent for the third consecutive meeting on Thursday after eight cuts that halved borrowing costs in a year.\u00a0\u00a0<\/p>\n

Bets on future interest rate cuts were broadly unchanged following the inflation<\/a> reading. Traders put an approximately 40 per cent probability of a quarter-point rate reduction by June 2026, according to levels implied by swaps markets. <\/p>\n

Francesco Pesole, FX strategist at ING, said October\u2019s inflation data was \u201csimply confirming the ECB isn\u2019t going to cut again\u201d.<\/p>\n

The euro was little moved against the dollar at $1.157 after the release, and was broadly flat on the day.<\/p>\n","protected":false},"excerpt":{"rendered":"Unlock the Editor\u2019s Digest for free Roula Khalaf, Editor of the FT, selects her favourite stories in this…\n","protected":false},"author":2,"featured_media":108289,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[114,184,85,46],"class_list":["post-108288","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-il","tag-israel"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/108288","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=108288"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/108288\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/108289"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=108288"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=108288"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=108288"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}