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Eurozone consumer prices rose 2.3% in November, according to new data released by the bloc, hitting expectations but still above the European Central Bank's target rate of 2%. This is the first time inflation has exceeded the ECB's target in three months.
Last month, inflation sat at 2%. The bump was down to an increase in services prices which were up 3.9%, compared with 4.0% in October. Meanwhile, food, alcohol & tobacco prices rose 2.8%, compared with 2.9% in October.
Energy prices continued to fall, down 1.9%, compared with a 4.6% drop in October.
Core inflation, meanwhile, was at 2.7%, below the estimates of 2.7%. Core inflation strips out volatile factors such as energy and food prices.
Economists have said the jump in inflation was not caused by underlying price pressures, an assessment that is likely to bolster ECB's plan for further interest rate cuts.
Read more: Bank of England set to cut interest rates gradually amid inflation fears
In October, the ECB cut interest rates by 25 basis points, the third rate cut for the bloc this year.
The move lowered the rate that the ECB pays on banks' deposits to 3.25%, from 3.5%, and is the first back-to-back interest rate cut in 13 years.
Money markets are also nearly fully pricing in three further reductions through to next March.
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