Euro area: Focus on ‘flash’ inflation figures – RBC CM

Research Team at RBC Capital Markets, suggests that the Euro area’s November ‘flash’ inflation release is not only the last before the ECB’s December 8th meeting but also the last of this year; December’s estimate won’t be available until early January.

Key Quotes

“For this month, the pattern of recent releases looks set to continue; an increase in the headline rate, on this occasion to 0.6% from 0.5% last month, but with core inflation again showing no discernable upward trend and remaining at last month’s 0.7%. That lack of underlying inflationary pressure is likely to continue to be a focus of Governing Council discussion and will be one of the factors behind what we believe will an announcement of an extension to its QE programme when it next meets.”