Overview
- Eurostat’s flash estimate shows euro-area consumer prices rising 2.0% year on year in December, down from 2.1% in November.
- Underlying inflation eased slightly to 2.3% year on year, signaling a gradual moderation in price pressures beyond volatile components.
- Energy prices fell 1.9% across the currency union versus a 0.5% drop in November, providing the main pull on the headline rate.
- In France, INSEE’s provisional data show CPI up 0.8% year on year and HICP up 0.7%, with energy down 6.8%, food up 1.7%, and a 0.1% monthly rise; final figures arrive January 15.
- Economists say the readings support the ECB keeping rates unchanged at its early-February meeting, with the main rate at 2% since June 2025, as national outcomes range from Cyprus at 0.1% to Estonia and Slovakia at 4.1%.