×
Newsmax TV & Webwww.newsmax.comFREE - In Google Play
VIEW
×
Newsmax TV & Webwww.newsmax.comFREE - On the App Store
VIEW
Tags: german inflation eases

German Inflation Unexpectedly Cools Off in June at 8.2%

German Inflation Unexpectedly Cools Off in June at 8.2%
(Dreamstime)

Wednesday, 29 June 2022 09:00 AM EDT

German inflation dipped in June, the first month that the effects of government measures to dampen high fuel prices were included, data showed on Wednesday.

Consumer prices, harmonized to make them comparable with inflation data from other European Union countries (HICP), increased by 8.2% on the year, less than May's rise of 8.7%, the federal statistics office said.

A Reuters poll of analysts had pointed to an overall annual German HICP reading of 8.8% in June.

Energy prices were 38% higher in June than in the same month a year earlier, a similar change to previous months, driven up by the war in Ukraine and ongoing supply bottlenecks.

In a bid to counter rising energy prices, the German government has cut fuel tax and introduced a ticket allowing travel across the country for 9 euros a month.

The statistics office said the effects of those measures were included in the results but their exact impact was not yet clear.

Analysts connected the government measures to the unexpected easing in June inflation but warned that their effects would evaporate in September, when they are due to run out.

"It is a small relief for consumers that June did not bring any further loss of purchasing power compared to the previous month," said Michael Heise, chief economist at HQ Trust.

"However, this is likely to be a respite rather than a turning point in inflation."

Jens-Oliver Niklasch of LBBW bank predicted July and August would bring similar inflation rates, while September would see a jump.

© 2022 Thomson/Reuters. All rights reserved.


StreetTalk
German inflation dipped in June, the first month that the effects of government measures to dampen high fuel prices were included, data showed on Wednesday.
german inflation eases
253
2022-00-29
Wednesday, 29 June 2022 09:00 AM
Newsmax Media, Inc.

Sign up for Newsmax’s Daily Newsletter

Receive breaking news and original analysis - sent right to your inbox.

(Optional for Local News)
Privacy: We never share your email address.
Join the Newsmax Community
Read and Post Comments
Please review Community Guidelines before posting a comment.
 
 
TOP

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
© Newsmax Media, Inc.
All Rights Reserved
NEWSMAX.COM
© Newsmax Media, Inc.
All Rights Reserved