The sequential momentum of euro area core HICP looks very weak this month. Services prices *declined* by 0.07% MoM on a seasonally-adjusted basis, the weakest in over three years, more than offsetting last month’s strength.

Small downside surprise to euro area flash HICP with core inflation broadly stable at 2.74%. There’s a strong case for the ECB to cut again in December as both inflation and growth undershot their projections, but probably not strong enough for them to cut by 50bp (for now).