European food price increases are slowing down

Contrary to the expectations, the eurozone’s inflation continued to decline in October – Eurostat’s fresh datas show. Energy prices fell by 1.7 percent, while food, alcohol and tobacco product price increases slowed from 2.6 percent to 1.9 percent in September.

The annual inflation rate slowed to 0.7 percent in October, from the 1.1 percent measured in September, while analysts expected stagnation of 1.1 percent. Inflation is deep below the European Central Bank’s 2 percent objective. The core inflation fell to 0.8 percent, from the 1 percent of September. (by our colleague)