Germany: Inflation remains steady in October
October 30, 2012
In October, consumer prices remained unchanged over the previous month, according to a preliminary flash estimate released by the statistical institute on 29 October. The print followed another flat reading in September and mainly reflected how higher prices for food and non-alcoholic beverages were offset by declining prices for leisure and hotels. As a result, annual headline inflation remained unchanged at September's 2.0%, which was in line with market expectations. Meanwhile, annual average inflation inched down from 2.1% in September to 2.0% in October, the lowest level since August 2011. HICP inflation (based on the harmonized index of consumer prices) followed suit and remained unchanged at September's 2.1%. Annual average HICP inflation declined from 2.3% in September to 2.2% in October. More detailed inflation data will be published on 9 November.
Author: Ricardo Aceves, Senior Economist