Germany’s consumer price inflation eased further to 7.2 percent year-on-year in April 2023, down from 7.4 percent the month before and slightly below market expectations of 7.3 percent. Well down from 8.7% just two months ago. The rate hit its lowest level since August 2022, but remained well above the ECB’s target of 2.0 percent. Energy inflation accelerated bounced to 6.8 percent from 3.5 percent in the previous period but it still down sharply from 19.1 percent in February. However, food prices still remain elevated but did fall to 17.2 percent vs 22.3 percent in March.
At the same time, services inflation fell slightly to 4.7 percent from 4.8 percent. The EU-standard harmonized index of consumer prices rose by 7.6 percent in April, slightly down from 7.8 percent in March.
The lower prices should bring a smile to the ECB. However, on a monthly basis, consumer prices Germany’s consumer prices rose by 0.4 percent from a month earlier in April 2023, following a 0.8 percent increase the month before and missing market expectations of a 0.6 percent gain, a preliminary estimate showed. Inflation remained well above the European Central Bank’s target of about 2%.
From The TradersCommunity News Desk