Consumer price growth in the euro area edged higher to move further from the target of the European Central Bank, adding pressure on monetary policymakers to leave rates as is at their final decision-making meeting this year.

In a preliminary report, the EU statistics office Eurostat said annual Eurozone inflation last month grew to 2.2% from October’s 2.1%, which was also the market estimate. Both were above the ECB’s medium-term target of 2.0%.

The less-volatile euro area core rate held at October's mark of 2.4% y/y, the market forecast.

 Measured at a monthly rate, consumer prices in November contracted 0.3% as predicted after rising 0.2% in October. (LiveSquawk – Continue Reading)

However Donald Trump’s latest push to end the war in Ukraine pans out, Europe fears the prospect of a deal – sooner or later – that will not punish or weaken Russia as its leaders had hoped, placing the continent’s security in greater jeopardy.

Europe may well even have to accept a growing economic partnership between Washington, its traditional protector in the NATO alliance, and Moscow, which most European governments - and NATO itself - say is the greatest threat to European security. (Reuters – Continue Reading)

Global growth is holding up better than expected as an artificial intelligence investment boom helps offset some of the shock from U.S. tariff hikes, the OECD said on Tuesday, nudging up its outlook for some major economies.

The Paris-based organisation warned, however, that global growth was vulnerable to any new outbreak of trade tensions while investor optimism about AI could trigger a stock market correction if expectations are not met. (Reuters – Continue Reading)

Belgian police raided the EU’s diplomatic service in Brussels on Tuesday, along with the College of Europe in Bruges and private homes, as part of a probe into alleged misuse of EU funds, according to people familiar with the investigation and witnesses.

Raids took place across Belgium in the early hours of the morning, with police seizing documents and arresting three people to question them on suspicion of procurement fraud, corruption, and criminal conflict of interest.

Around 10 officers dressed in civilian clothes entered the European External Action Service (EEAS) headquarters at 7:30 am on Tuesday, one eyewitness said. Another EU official from the EU’s diplomatic service confirmed the raid. (Euractiv – Continue Reading)