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- Germany's consumer price index rose in line with forecasts in August
Germany's consumer price index rose in line with forecasts in August
According to the report from Federal Statistical Office (Destatis), the inflation rate in Germany as measured by the consumer price index (CPI) was 1.4% higher in August 2019 than in August 2018. Destatis also reports that the rate of inflation was down (July 2019: +1.7%).
Energy product prices rose 0.6% from August 2018 to August 2019. This increase was much smaller than the overall price increase. In July 2019 energy prices had risen by as much as +2.4% year on year. Food prices rose above average (+2.7%) in August 2019 compared with August 2018. The year-on-year increase in food prices thus accelerated for the fifth consecutive month (July 2019: +2.1%). The prices of goods (total) were 1.3% higher in August 2019 than in the same month a year earlier. Service prices rose more strongly (+1.6%) than goods prices from August 2018 to August 2019.
Compared with July 2019, the consumer price index fell by 0.2% in August 2019. The prices of energy (total) were down 1.0% in the same period. Price decreases were recorded for both motor fuels (-2.4%) and heating oil (-2.0%). There were sizeable price decreases also in the education sector for pre-primary and primary education services (-3.0%) and for package holidays (-2.5%).
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