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Eurozone Inflation Eases for Third Month as ECB Rate Rises Bite
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The eurozone’s annual rate of inflation fell for the third-straight month in January as energy prices continued to pull back from recent peaks—a slide that is unlikely to deter the European Central Bank from raising interest rates further this week.
Russia’s invasion of Ukraine pushed energy prices and eurozone inflation sharply higher through much of last year, but warmer-than-usual temperatures, high natural-gas storage levels across Europe and various government programs to cap energy prices started to reverse that move as 2022 drew to a close.
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