Italy's producer price inflation just delivered a surprise jolt in November. The PPI came in at 1.3% month-over-month, a sharp reversal from October's -0.4% contraction. That's a 170-basis-point swing in one month.

This kind of inflationary pressure in a major eurozone economy raises some interesting questions for crypto traders. When traditional economies show unexpected price acceleration, central banks get skittish. We might see renewed attention on ECB policy signals heading into year-end. Higher producer costs typically feed into consumer prices with a lag—so watch the CPI prints coming next.

For risk assets like crypto, this matters. Deflationary prints (like October's -0.4%) were actually supportive sentiment—they suggested easing pressure on monetary policy. But now? One month of strong PPI doesn't remake the macro picture, but it reminds us that inflation dynamics remain choppy. Worth monitoring how European markets digest this data and whether it shifts expectations for 2025 rate decisions.