Inflation hits new record in Europe, slowing economy

By DAVID McHUGH
AP Business Writer

FRANKFURT, Germany (AP) — Inflation just keeps punishing the European economy. Annual price increases hit another record in October at 10.7%. That’s the highest since statistics started in 1997. The big reason: higher prices for natural gas, oil and electricity. And that has been fueled above all by cutbacks from Russia over the war in Ukraine. High inflation is draining money from consumer wallets and purses that they now can’t spend in stores. The result is that growth figures are not so great either. The economy grew 0.2% in the July-September period, and many economists say a recession can’t be far behind.