* Preliminary data showed Friday that headline inflation came in at 5% for the month, compared to the same month last year.
* The figure represents the highest ever on record.
* Money managers have been debating whether the ECB should be taking a more aggressive stance to combat rising prices.
Euro zone inflation hit a new record high in December, raising more questions about the European Central Bank’s monetary policy.
Preliminary data showed Friday that the headline inflation rate came in at 5% for the month, compared to the same month last year.
The figure represents the highest ever on record and follows November’s all-time high of 4.9%. The increase was mostly due to higher energy prices.
“After reaching 5.0% in December, headline euro-zone inflation should fall this year as the energy component plummets,” Capital Economics said in a note Friday.
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WNU Editor: All of my friends in Europe are telling me that the real inflation rate is higher.
Inflation Hit A Record High In The Euro Zone