Eurozone annual inflation stable at 2.1% in November

Energy prices decline 0.5%, while services, food, alcohol, and tobacco prices drive inflation up

Annual consumer inflation in the euro area was 2.1% in November, stable compared to October, according to final data released Wednesday by Eurostat. The figure came below Eurostat's preliminary estimates of 2.2%, but remained slightly above the European Central Bank’s (ECB) medium-term target of 2%. Services were the biggest driver of inflation last month, rising 3.5% year-on-year, followed by food, alcohol, and tobacco (up 2.4%) and non-energy industrial goods (0.5%). Energy prices, on the other hand, were the largest downward contributor to inflation, decreasing 0.5% annually. In October, the decline in energy prices was 0.9%. The core inflation rate, which excludes volatile food and energy prices, rose 2.4% annually, stable from the previous month, matching preliminary estimates. Romania had the highest annual inflation rate at 8.6%, followed by Estonia at 4.7% and Croatia at 4.3%. The lowest inflation rate was seen in the Greek Cypriot Administration, 0.1%, followed by France 0.8% and Italy 1.1%. On a monthly basis, the consumer price index fell 0.3%, reversing the 0.2% rise in October. The eurozone, also known as the euro area or EA20, represents the 20 EU member states that use the euro as their official currency.