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Falling oil prices have driven the eurozone's first drop in prices for more than five years. (Photo: Antonio)

Plunging oil prices drive eurozone into deflation

Prices across the eurozone have fallen for the first time in five years, according to the EU statistics office, raising the prospect of a sustained period of deflation.

Consumer prices in the single currency area fell by a greater than expected 0.2 percent in December 2014, the first decline in prices since 2009, Eurostat revealed on Wednesday (7 January). A month earlier inflation was 0.3 percent.

Eurostat attributed the deflation to a 6.3 percent fall in energy prices, noting ...

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Falling oil prices have driven the eurozone's first drop in prices for more than five years. (Photo: Antonio)

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