Producer prices in the Eurozone rose more than expected in October, owing primarily to a rise in energy prices, although unemployment eased again as the economy continued to recover from the pandemic-induced slowdown, according to data released on Thursday.
Prices at factory gates in the 19 Eurozone countries grew 5.4% MoM, resulting in a 21.9% YoY increase, according to the European Union's statistics office Eurostat.
Economists predicted a 3.5% monthly increase and a 19.0% yearly increase. The main driver of the steep rise was energy prices, which rose 16.8% MoM and 62.5% YoY.
Consumer prices rise when producer prices rise, and headline consumer inflation in November hit 4.9 %, the highest level in the 25 years since the data was first recorded, up from 4.1% a month earlier and well ahead of estimates of 4.5%.
Eurostat reported that the unemployment rate in the Eurozone fell to 7.3% of the workforce in October, down from 7.4% in September, as forecast by economists.
According to Eurostat, the number of unemployed persons fell to 12.045 million in October, down from 12.109 million in September.