As per the reports, this month, Eurozone inflation zoomed past forecasts to hit a fresh record high, reinforcing expectations for another huge interest rate hike from the European Central Bank in the upcoming month.
In September, Eurozone inflation hit a new record high of 10 per cent, up from 9.1 per cent in August and above consensus projections of 9.7 per cent, Eurostat data showed on Friday.

Earlier, figures had shown inflation in Germany; the rate reached the highest since Korean War 70 years ago. European countries using the euro currency have broken into double digits as prices for natural gas and electricity soar, signalling a looming winter recession for one of the world’s major economies as higher prices cripple consumers spending power. Higher Energy prices were the main culprit that caused a 40.8 per cent rise over a year ago. Food, tobacco, and alcohol jumped 11.8 per cent.

Meanwhile, expenditures on utility bills, food, and fuel affected by high inflation leave consumers with less money to expense. That is the root cause that economists are predicting a recession in the upcoming days. To withstand inflation, the European Central Bank is raising interest to cool down an overheated economy.