Eurozone inflation hits 4% in October, up from 3.8% in September

Eurozone inflation rose to an annual 4% in October, from 3.8% in September. This is shown by the flash estimate published by Eurostat, the European Union’s statistics office.¹² The rate is annual: it measures how much prices have risen compared with the same period a year earlier. The flash estimate is an early reading, and for now the sources consulted show no revisions to the figure.²

What the two sources confirm

The two sources consulted, the news agency ANSA and a business daily, report the same figures: 4% in October and 3.8% in September. The daily specifies that the figure covers the 21 countries that share the euro.¹² According to the daily, it is the highest level in three years, and the increase is attributed to energy prices.¹

Why prices are rising: energy

According to the same article, inflation quickly overshot this year the 2% target set by the European Central Bank (ECB). The cause given is the United States’ war in Iran, which has pushed energy costs higher.¹ These costs feed through to retail prices, the article explains, because the euro area imports the vast majority of its energy needs.¹

Core inflation holds at 2.5%

So-called core inflation excludes volatile food and energy prices and is watched more closely. In October it held steady at 2.5%, in line with expectations.¹ The article notes that the rise in energy prices has not yet produced second-round effects that are hard to contain. The ECB has nonetheless already raised rates twice this year to keep price expectations from rising in step.¹

What the ECB can do

Last week the ECB left rates unchanged. The deposit rate remains at 2.5%.¹ According to the daily, several policymakers, including the central bank governors of Germany and Italy, have indicated that a new move in December is now likely. Financial markets, again according to the article, are pricing in two to three increases in the deposit rate over the coming year, with expectations that often shift as the price of oil changes.¹ The daily also writes that inflation is set to rise further in the coming months.¹

What is still to come

The available sources report neither a final figure nor revisions to the flash estimate. For now the 4% remains an early reading, while September’s 3.8% is the point of comparison given by both sources.¹²

This article was written by artificial intelligence from the sources cited, without human review. Automatic newsroom by Redazia.

Sources

Footnotes

1. Eurozona, stima inflazione al 4% annuo a ottobre, in crescita dal 3,8%, Il Sole 24 ORE, 2026-11-04 ↩ ↩² ↩³ ↩⁴ ↩⁵ ↩⁶ ↩⁷ ↩⁸ ↩⁹ ↩¹⁰ ↩¹¹

2. L’inflazione è salita al 4% nell’Eurozona a ottobre, ANSA · Economia, 2026-11-04 ↩ ↩² ↩³ ↩⁴