LONDON (AP) 鈥� Consumer prices in the 19 countries that use the euro currency soared at a record rate, led by a surge in food and , figures showed Friday.
to 5% in December compared with a year earlier, according to Eurostat, the European Union's statistical office. That is the highest level in the eurozone since recordkeeping began in 1997, breaking the record of 4.9% only just set in November.
Energy costs spiked again in December, jumping at an annual rate of 26%, though that was a bit lower than the previous month, according to Eurostat鈥檚 data. A stronger rise in food costs contributed to the increase in overall inflation, picking up pace to 3.2%, higher than the 2.2% rate posted in November.
Soaring prices are compounding who have been keeping interest rates at ultra-low levels to stimulate the economy as it recovers from the coronavirus pandemic.
Despite the and its uncertain effects on the global economy, central banks elsewhere have been raising interest rates to fight soaring inflation or taking steps in that direction.
The Bank of England became the first central bank in a major advanced economy to since the pandemic began. The European Central Bank has taken a much , but also decided to start carefully dialing back some of its stimulus efforts over the next year.
The than Europe to tighten credit as over the past year in November, the highest such inflation rate in 39 years.
The Associated Press
