Euro area HICP inflation rises to 2.9% in December vs. 3% expected

Annual HICP inflation in the Euro area climbed to 2.9% in December.
EUR/USD stays in negative territory slightly above 1.0900.

Eren Sengezer FXStreet

Inflation in the Euro area, as measured by the change in the Harmonized Index of Consumer Prices, rose to 2.9% on a yearly basis in December from 2.4% in November. This reading came in slightly below the market expectation of 3%. On a monthly basis, HICP rose 0.2% as forecast.

The Core HICP, which excludes prices of volatile items such as energy and food, increased 0.4% in December but edged lower to 3.4% from 3.6% on a yearly basis.

Market reaction

EUR/USD stays on the back foot after the data and was last seen losing 0.3% on the day at 1.0910.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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