Euro Zone Inflation Rises Faster Than Expected
Inflation accelerated across major euro zone economies this month due to rising energy costs. The data increases pressure on the European Central Bank to raise interest rates further to combat price growth.
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Euro zone inflation accelerated past forecasts in September as the energy shock from the conflict in Iran sent Natural Gas and fuel prices surging. The faster price growth is increasing pressure on the European Central Bank to lift borrowing costs again. Markets are now pricing in four additional rate hikes over the coming year to curb inflation.
