Eurozone annual inflation is expected to reach 2.4% in December 2024, a slight increase from the 2.2% recorded in November 2024, according to estimates published by Eurostat. This increase reflects changes in the main components that influence inflation in the region.
Breakdown by Components
Among the main factors contributing to inflation, services top the list with an estimated annual rate of 4.0% in December, up from 3.9% in November. This component represents 44.9% of final consumption expenditure of households in the euro zone, consolidating itself as the one with the greatest weight.
Other key components include:
- Food, alcohol and tobacco: Stability at 2.7% compared to November.
- Non-energy industrial goods: A slight decrease to 0.5% from 0.6% in November.
- Energy: Notable change, going from -2.0% in November to a slight growth of 0.1% in December.
Component Contribution
In terms of weights for 2024, services represent 44.9% of household spending, followed by non-energy industrial goods (25.7%), food, alcohol and tobacco (19.5%) and energy (9.9%). Although food and energy have a lower weight, their volatility can have a significant impact on general inflation.
Fountain: EUROSTAT
