Europe’s inflation hits record 10.7%, hurting economy.
- Due to Russia’s war in Ukraine, natural gas and power costs soared, pushing Europe’s inflation to a record high in 19 countries that use the euro currency.
- Higher prices reduced Europeans’ spending power, slowing economic development ahead of a recession.
- Europe’s October inflation rate was 10.7%. Europe’s highest since 1997.
- After Russia invaded Ukraine, pipeline supplies dropped to a trickle, raising natural gas costs. Europe relies on pricey ship-borne liquefied gas from the U.S. and Qatar to generate energy and heat houses.