Germany: Harmonized inflation inches higher in March
Harmonized consumer prices rose 0.1% month-on-month in Germany in March, down from the 0.6% increase in February. The figure reflected cheaper food and non-alcoholic beverages; alcoholic beverages and tobacco; housing and utilities; transport; and communication. This offset greater clothing and footwear inflation. The reading was likely also influenced by government measures to contain the spread of Covid-19, which weighed on economic activity.
Harmonized inflation, meanwhile, inched down to 1.3% in March from 1.7% in February. However, annual average harmonized inflation was stable at 1.4% for the fifth consecutive month. Lastly, consumer price inflation eased to 1.4% in March from February’s 1.7%, while annual average consumer price inflation was stable for the sixth month running at 1.5%.