In the Euro Area, the Consumer Price Index (CPI) showed an annual increase of 2% in October, exceeding expectations. The European Statistics Office (Eurostat) released the preliminary inflation data for the Euro Area in October. According to the report, the annual CPI, which was 1.7% in September, rose to 2% in October. Expectations were that the annual inflation would be 1.9% in October. The core inflation in the Euro Area in October stood at 2.7% on an annual basis. Looking at the main components of inflation, the highest price increase was observed in the service sector at 3.9%. This was followed by food, alcohol, and tobacco products at 2.9%, and non-energy industrial products at 0.5%. Energy prices fell by 4.6% in October. According to harmonized data, inflation in October was 4.7% in Belgium, 3.3% in the Netherlands, 4.5% in Estonia, and 3.2% in Greece. In Germany, the annual inflation in October was 2.4%, 1.8% in Spain, 1.5% in France, and 1% in Italy. The European Central Bank aims for inflation to sustainably reach the target of 2% in the medium term.