The FINANCIAL — German consumer prices rose at their fastest rate in seven months in May, a sign that the European Central Bank’s bond purchase program may be starting to have its desired effect, according to Nasdaq.
Consumer prices measured according to common European standards, or the HICP, increased 0.1% on the month and 0.7% on the year, the federal statistics office said on June 16, confirming preliminary estimates. That was the largest annual increase since October 2014, when prices increased by the same rate.
Destatis also confirmed its preliminary inflation estimates based on national standards. According to this measure, consumer prices rose 0.1% from April and were up 0.7% on the year.
Excluding energy prices from the national measure, the annual inflation rate in May would be “significantly higher” at 1.3%, Destatis said, as energy prices were down 5% from May 2014.