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- Missile strikes US Embassy in Baghdad’s Green Zone, causing damage
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Business Briefing
In January 2026, annual inflation in the euro area decreased to 1.7%, down from 2.0% in December 2025, a notable shift that hints at easing cost pressures within households. However, beneath the headline figures, a diverse inflation landscape emerges; for instance, Romania and Slovakia reported significantly higher rates at 8.5% and 4.3%, respectively. This disparity signals potential challenges in achieving cohesive monetary stability across the bloc, as elevated inflation in certain member states could affect overall policy effectiveness. As the euro area adapts to these variances, the broader implications for economic cohesion in the region warrant careful observation.
This morning, Eurostat reported that annual inflation in the euro area is anticipated to decline to 1.7% in January 2026, down from 2.0% in December. Key components such as services and food show varied inflation rates compared to last month.
This morning, Eurostat released flash estimates indicating a 0.3% increase in GDP for both the euro area and the EU in Q4 2025. Year-on-year growth stands at 1.3% for the euro area and 1.5% for the EU. Employment rose by 0.2% in the same quarter.
CITY AM – ETON MESS: Thames Water sewers flood as £46,000-a-year school forced to delay…
The FT leads with the Iranian navy seizing a tanker off the coast in Oman, amid tensions in the nearby Red Sea with assaults on vessels by Tehran-backed Houthi rebels.
Red Sea attacks could shrink economy, warns Treasury Ongoing attacks on shipping in the Red…
UK economic growth rebounds in November The UK’s economy rebounded in November after shrinking during…
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