Inflation fell in three important German states in June, preliminary data showed on Monday, suggesting the country's national inflation rate could ease this month. In Bavaria, the inflation rate fell in June to 1.8% from 2.1% in the previous month, in North Rhine-Westphalia it fell to 1.8% from 2.0% and in Lower Saxony it fell to 2.2% from 2.3% in May. The Reuters Daily Briefing newsletter provides all the news you need to start your day. Sign up here. In Baden-Wuerttemberg, however, the inflation rate increased slightly to 2.3% from 2.2% in the previous month. Advertisement · Scroll to continue
Report This Ad Economists polled by Reuters had forecast a harmonised national inflation rate in Germany - the euro zone's largest economy - of 2.2% in June, up from 2.1% in the previous month. National figures will be released later on Monday. The German data comes ahead of the euro zone inflation release on Tuesday. Inflation in the bloc is expected at 2.0% in June, the European Central Bank's goal, up from 1.9% in the previous month, according to economists polled by Reuters. The ECB cut interest rates at the beginning of June but hinted at a pause in its year-long easing cycle after inflation finally returned to its 2% target. Advertisement · Scroll to continue
Sponsored by Mashreq Mashreq World Games 2024 Highlight At Mashreq, we’re committed to employee wellness, at work and beyond the office. We recently launched the Mashreq World Games initiative as part of our efforts to participate in the Dubai Fitness Challenge 2024, encouraging our teams in the UAE, India, and Pakistan to participate in a series of... Learn more Report This Ad "Overall, it can probably be stated that the period of high inflation is, for the time being, over," said Cyrus de la Rubia, chief economist at Hamburg Commercial Bank. The reasons are a stronger euro, which results in lower import prices, a greater supply of goods from Asia as they can no longer be sold to the U.S., and weak consumer demand, as was recently underscored by the decline in retail sales.
