Strong Demand, Continued Shortages Push Up Prices in U.S. and Europe
Inflation worries persist despite some easing of supply constraints
Firms on both sides of the Atlantic reported robust demand in November that, combined with persistent shortages of parts and labor, has led to record price increases.
In the U.S. the lifting of Covid-19 restrictions has boosted business output, particularly in the services sector. Businesses in Europe also reported a pickup in production despite a fresh surge of Covid-19 cases that has prompted fears of new pandemic restrictions.