German Inflation Rate Down to 3-1/2-Year Low

Annual consumer prices in Germany are expected to slow to 1.0 percent in March of 2014, preliminary figures showed. The inflation rate decelerated for the third consecutive month, as energy prices keep falling.

The slowdown in the inflation rate is due to different trends. The expected increase in food prices (+2.2 percent on March 2013) is still contrasted by declining energy prices (–1.6 percent).

Prices for services eased to 1.5 percent from 1.8 percent in January, but household rents are expected to rose by 1.5 percent (the same rate recorded in the previous month). 

On a monthly basis, prices are expected to increase 0.3 percent, down from 0.5 percent in the preceding period. 

The harmonized CPI rose by 0.3 percent on the month and 0.9 percent on the year.

German Inflation Rate Down to 3-1/2-Year Low

DESTATIS | Joana Taborda |
3/28/2014 1:18:34 PM