Consumer Prices in The Eurozone Fell More Than Expected in November

A preliminary estimate from the European Union statistics office Eurostat showed that consumer prices in the euro area fell more than an expected year on year in November, weighed by a sharp drop in energy costs.

Eurostat said that inflation in the 19 euro-zone countries registered -0.3% on an annual basis, the same as in September and October and below expectations of -0.2% in a Reuters poll of economists. On a monthly basis, prices fell by 0.3%.

November is the fourth consecutive month of negative inflation year on year.

Energy prices fell -4.4% year-on-year in November, while unprocessed food prices rose 4.2%.

Excluding these two more volatile components, so-called core inflation recorded a positive growth of 0.4%, similar to that of October.

A narrower gauge of inflation that also excludes alcohol and tobacco prices showed prices rose 0.2% year-on-year, as they did in October.