German Consumer Prices Increased Further in September

By Maria Martinez

German consumer prices rose strongly in September, according to preliminary data released by the German statistics office Destatis on Thursday.

Consumer prices rose 4.1% on year measured by national standards, below the forecast of 4.2% of economists polled by The Wall Street Journal. They also rose 4.1% on year by European Union-harmonized standards, in line with forecasts.

The increase in the inflation rate is caused mainly by base effects due to lower prices in 2020, the statistics office said.

The temporary value added tax reduction and the sharp decline in mineral oil product prices also had an upward effect on the overall inflation rate, Destatis said.

Consumer prices remained unchanged on month by national standards, below the 0.1% forecasts of economists polled by The Wall Street Journal. Prices increased 0.3% by EU-harmonized standards, in line with the forecast of economists polled by the Journal.

The price collection problems caused by the coronavirus pandemic in the previous months continued to ease in September, as the shop-based retail business and food service and accommodation establishments were largely reopened or could offer their services again, Destatis said.

Final results will be released on Oct. 13.

Write to Maria Martinez at [e-mail]

(END) Dow Jones Newswires

09-30-21 0824ET