The Eurozone annual inflation rate held at 2.1% in October 2025, down slightly from 2.2% in September, staying close to the European Central Bank’s 2% target. Food, alcohol, and tobacco prices rose more slowly at 2.5%, compared with 3.0% the previous month, driven by slower gains in both processed food (2.3% vs 2.6%) and unprocessed food (3.2% vs 4.7%). Non-energy industrial goods inflation eased to 0.6% from 0.8%, while energy costs fell more sharply at -0.9% versus -0.4%. In contrast, services inflation accelerated for a second consecutive month, reaching 3.4%, the highest level since April, while core inflation, excluding energy, food, alcohol, and tobacco, remained steady at 2.4%. Among the largest Eurozone economies, inflation slowed in Germany (2.3% vs 2.4%), Italy (1.3% vs 1.8%), and France (0.8% vs 1.1%), but Spain saw a rise to 3.2% from 3.0%.