Price increase in Europe broke record

Inflation in Europe in September broke the record, becoming the highest since the beginning of the global financial crisis of 2008, reports Reuters with reference to Eurostat.

Rising prices for consumer goods in 19 eurozone countries accelerated to 3.4 percent year-round in September, compared with three percent in August. Inflation rate exceeded analysts by 3.3 percent. One of the reasons for inflation growth was the jump in energy prices.

Together with him, the influence of supply chains and production was affected. In addition, prices for durable goods rose 2.3 percent from August. Basic inflation without taking into account food and energy has grown to 1.9 percent from 1.6 percent.

Although European factories fought with logistics problems, a lack of raw materials and labor, the growth of production in September remained strong. The index of business activity in the production sector in September decreased to 58.6 points from 61.4 in August, which is lower than the initial estimate in 58.7.

Rising the value of natural gas Together with failures in the supply, which affect different sectors of the economy – from the production of cars to computers, can cause inflation to four percent. Such a level is twice as much as the target indicator of the European Central Bank (ECB), which is waiting for a decrease in inflation at the beginning of 2022.

/Media reports.