Lower inflation raises hope ECB will slow pace of interest rate hikes

ECB president Christine Lagarde had told the European Parliament that “it would surprise me” if price growth has peaked.

The European Central Bank first started raising official rates this year in July and is widely expected to hike again later in December. 

A sharp slowdown in inflation across the eurozone, including in Ireland, has resparked the debate about whether the European Central Bank will slow the pace of its interest rate hikes in December and into 2023.

November's eurozone annual inflation of 10% was down from 10.6% in October, reflecting the slowdown in readings in major economies including in Germany, according to Eurostat figures.