Germany Inflation Rate Confirmed at 1.0%

German annual inflation rate edged up to 1.0 percent in June of 2014 from 0.9 percent in the previous month driven by higher prices of beer, tobacco and newspapers and matching the preliminary estimate.

Energy prices as a whole were down 0.3 percent in June of 2014 from June of 2013. Prices declined for mineral oil products (-1.2 percent), of which heating oil fell 1.9 percent, motor fuels declined 1.1 percent and charges for central and district heating dropped in 1.2 percent. Electricity prices increased 1.8 percent.

Compared with the overall inflation rate, the prices of goods, including energy and food, recorded a below-average increase (+0.3 percent) on June of 2013. The prices of beer (+3.0 percent), tobacco products (+4.3 percent) and newspapers and periodicals (+4.6 percent) rose markedly. Prices were considerably down again especially for consumer electronics (-6.1 percent), including TV sets (-9.5 percent) and telephones (-11.6 percent). Service prices rose above average from the same month a year earlier (+1.6 percent).

Compared with May of 2014, consumer prices rose by 0.3 percent in June of 2014. Mainly seasonal price increases were observed for package holidays (+11.7 percent) and air tickets (+2.4 percent). Prices of energy as a whole, too, were up on the previous month (+0.5 percent), including motor fuels (1.3 percent), and heating oil (0.4 percent). Food prices remained nearly unchanged from the previous month (-0.1 percent). 

The harmonised index of consumer prices (HICP) rose by 1.0 percent in June of 2014 on June of 2013. Compared with the previous month, the index was up 0.4 percent in June of 2014. The HICP estimates were thus confirmed.

Germany Inflation Rate Confirmed at 1.0%

DESTATIS | Isabel Felino |
7/11/2014 9:21:31 AM