FX.co ★ Euro Zone Core CPI Eases Slightly in December, Yields Some Relief

The Euro Zone's Core Consumer Price Index (CPI) experienced a modest decline in December 2025, offering a glimmer of relief to economists and policymakers concerned about persistent inflation pressures. According to the latest data released on January 7, 2026, by the regional economic authorities, the Core CPI for December reached 2.3%, down from 2.4% in November.

This marks a slight yet notable shift as the Core CPI is a critical measure that excludes the volatile components of food and energy, providing insights into underlying inflation trends. The year-over-year comparison highlights a deceleration, as the figure for December compares the rate of inflation against December 2024, indicating a potential easing of inflationary pressures within the Euro Zone economy.

Economists will be closely monitoring this trend to assess whether this decrease signals the start of a sustained reduction in core inflation rates or if it merely reflects temporary factors. Despite the observed downtrend, the Euro Zone continues to navigate broader economic challenges, making the direction of inflation a focal point for economic strategy in 2026.