German Inflation Eases Slightly in November

German Inflation Eases Slightly in November
Customers at the Edeka grocery store buy pasta, as the spread of coronavirus disease (COVID-19) continues in Duesseldorf, Germany, on April 29, 2020. (Wolfgang Rattay/Global Business Week Ahead/Reuters)
Reuters
11/29/2022
Updated:
11/29/2022

BERLIN—German consumer prices, harmonized to compare with other European Union countries, rose by 11.3 percent on the year in November, preliminary data from the Federal Statistics Office showed on Tuesday, in line with forecasts by analysts polled by Reuters.

October saw the highest reading since comparable data going back to 1996 with harmonized inflation up 11.6 percent on the year.

Compared with October, prices were unchanged, the office added. Analysts had forecast a 0.1 percent month-on-month rise.

The annual increase was due to higher costs for food and energy, which have grown considerably since the war in Ukraine began and have had a substantial impact on inflation, said the office.

Energy prices eased slightly in November but were still up 38.4 percent compared with the same period last year, while food prices had similarly increased by 21 percent, according to the office.

A one-off payment of household energy bills in December and a planned price cap on gas and electricity has stabilized consumer sentiment, but the Bundesbank has warned that it may not be enough to bring inflation down from the double digits.