German inflation rises to 2.9% in August but remains below expectations
🇩🇪 Preliminary data from Destatis showed Germany’s CPI and HICP both rising 2.9% year-on-year, up from 2.8% in July but below expectations of around 3.1%. Consumer prices increased 0.2% from the previous month.
⚡ The acceleration was driven mainly by energy prices, which rose 10.5% YoY, while core inflation remained unchanged at 2.4%. Services inflation eased slightly to 2.8% and food prices increased just 0.1%, suggesting that price pressures have not broadened significantly.
💶 EUR/USD showed little reaction following the release. The softer-than-expected print slightly reduces hawkish pressure, but is not enough to materially change expectations for a potential 25-basis-point ECB rate hike in September.
📊 Eurozone inflation data due on September 1 will be the next key signal for markets assessing the ECB’s policy outlook.
#Germany
🇩🇪 Preliminary data from Destatis showed Germany’s CPI and HICP both rising 2.9% year-on-year, up from 2.8% in July but below expectations of around 3.1%. Consumer prices increased 0.2% from the previous month.
⚡ The acceleration was driven mainly by energy prices, which rose 10.5% YoY, while core inflation remained unchanged at 2.4%. Services inflation eased slightly to 2.8% and food prices increased just 0.1%, suggesting that price pressures have not broadened significantly.
💶 EUR/USD showed little reaction following the release. The softer-than-expected print slightly reduces hawkish pressure, but is not enough to materially change expectations for a potential 25-basis-point ECB rate hike in September.
📊 Eurozone inflation data due on September 1 will be the next key signal for markets assessing the ECB’s policy outlook.
#Germany
