Euro area annual inflation is expected to be 0.9 percent in January 2021, up from -0.3 percent in December, according to a flash estimate from Eurostat. Looking at the main components of euro area inflation, food, alcohol and tobacco is expected to have the highest annual rate in January (1.5 percent, compared with 1.3 percent in December), followed by services (1.4 percent, compared with 0.7 percent in December), non-energy industrial goods (1.4 percent, compared with -0.5 percent in December) and energy (-4.1 percent, compared with -6.9 percent in December), informed Eurostat.
