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Spanish bonds outperform after S&P's outlook revision

* Euro zone inflation above consensus in November

* Spanish bonds underpinned by lift in ratings outlook

* S&P strips Netherlands of its triple-A rating (Updates prices into close, adds fresh quotes)

By Marius Zaharia and Ana Nicolaci da Costa

LONDON, Nov 29 (Reuters) - Spanish government bonds outperformed their euro zone peers on Friday after Standard & Poor's became the second rating agency in less than a month to revise up the outlook on the country's rating to stable.

The S&P's move to strip the Netherlands of its triple-A rating was shrugged off by markets, with most euro zone bonds steady to slightly firmer on continued speculation that the European Central Bank might have to ease policy further.

Higher-than-expected euro zone inflation data eased pressure on the ECB to act at its meeting next week, but price growth remained well below target, very likely forcing the central bank to keep easing options on the table.

Spanish 10-year bond yields fell 3 basis points to 4.12 percent as the latest outlook revisions removed the immediate risk of investors tracking investment grade indexes being forced to sell.

S&P rewarded Spain for moves to rein in public finances and put the economy on a more competitive footing - progress also acknowledged by markets as its benchmark yields have fallen by one full percentage point this year.

"It just confirms the fact that this downward cycle on (Spanish) sovereign ratings is now behind us," Natixis fixed income strategist Cyril Regnat said.

Only Germany, Luxembourg and Finland are left top-rated in the euro zone. With even the United States having lost its triple-A status, however, such downgrades have had only limited impact on country's borrowing costs in recent years.

Bund futures closed the day 6 ticks higher at 141.71, with German 10-year cash yields flat at 1.70 percent.

Euro zone consumer prices rose 0.9 percent in November, above the 0.8 percent forecast and up from 0.7 percent in October, but still below a target of close to 2 percent.

Last month's unexpected fall in inflation prompted the ECB to cut its key refinancing rate to a record low of 0.25 percent.

While no further easing was expected at the ECB's meeting on Thursday, low inflation should force the central bank to reiterate that such a move was on the cards.

"We will see inflation bobbling around the current levels for a while," Investec chief economist Philip Shaw said.

"The easing bias is there for several quarters to come." (Editing by Catherine Evans and David Evans)