German Inflation Rate Slows to 2.1% as Expected

The German consumer price inflation is expected to ease to 2.1 percent year-on-year in June 2018 from a 15-month high of 2.2 percent in the previous month and in line with market expectations. Services inflation is likely to slow from the previous month while prices of goods are set to rise at a faster pace boosted by energy.

Services price inflation is likely to fall to 1.5 percent in June from 1.9 percent in the previous month, with cost of rents advancing by 1.6 percent, the same pace as in May. Meanwhile, prices of goods are expected to advance by 2.8 percent, compared with 2.5 percent in May, as energy inflation is set to increase to 6.4 percent from 5.1 percent. Food cost is likely to rise at a slightly slower pace (3.4 percent vs 3.5 percent).

On a monthly basis, consumer prices are set to rise 0.1 percent in June, after growing 0.5 percent in May and also in line with market consensus.

The harmonised index of consumer prices is expected to rise by 2.1 percent from the previous year; and by 0.1 percent from the previous month.

German Inflation Rate Slows to 2.1% as Expected

Destatis | Joana Ferreira |
6/28/2018 12:11:19 PM