020 7898 0500As expected, inflation in the eurozone fell to 1.4% in December from 1.5% in November. Prices are therefore increasing at a slower rate and appears to support the European Central Bank’s decision to continue with its quantitative easing programme. ECB President Mario Draghi has often been accused of being too dovish, but this release shows that there is currently no need for him to act hawkish. Credit where credit is due.
December’s retail purchasing managers’ index figure for the eurozone came in at 53 from 52.4 the previous month. Germany’s construction PMI also moved to 53.7 from 53.1 in further signs that Europe’s economy enjoyed a fine end to a fine year.
Today is rather busy for the eurozone, with consumer confidence, retail sales, business confidence, industrial sentiment, and economic sentiment all set for release. The figures should give us further indications of how the eurozone’s economy performed but it is expected that the figures will be largely positive.
