Euro-Zone Inflation Near 2% to Seal Deal on ECB Rate Hold

Group 1 - BNP Paribas anticipates stronger growth and inflation in the Eurozone by 2026, suggesting a prolonged rate hold and a potential rate hike as the next move [1] - Euro-area inflation is expected to remain steady at just above the ECB's 2% target in November, with a sustained deceleration anticipated in December, which may pressure the ECB to ease policy next year [1][2] - The ECB is currently in a holding pattern with no clear consensus on future rate moves, influenced by mixed national inflation reports from Germany, Spain, France, and Italy [3] Group 2 - Consumer prices in the Eurozone are projected to rise by 2.1% year-over-year in November, with the underlying measure expected to remain at 2.4%, indicating stability that may allow the ECB to avoid rate changes in December [5] - The upcoming OECD forecasts and various economic indicators from the US and Canada will provide additional context for global economic conditions [6][7] - The Bank of Canada plans to maintain its policy rate at 2.25% as long as economic and inflation trends align with expectations, anticipating a soft labor market [11] Group 3 - In Asia, a series of manufacturing purchasing manager indexes and price indicators will be released, providing insights into regional economic momentum [11] - Japan's economic indicators will be closely watched for signals regarding a potential December rate hike [12] - Brazil's economic growth streak may have ended, attributed to strict monetary policy and the impact of US tariffs, raising concerns about a possible shallow recession [22] Group 4 - Mexico's economic reports are expected to highlight a widening output gap and loss of momentum, exacerbated by US trade policies [23] - Chile may report a slight cooling in consumer prices, potentially leading to a quarter-point rate cut by central bankers [24] - Peru and Colombia are also expected to show signs of deceleration in consumer price growth, indicating broader regional economic challenges [25]