Reported 6 months ago
German inflation rose slightly more than expected to 2.8% in May, with economists noting that the increase was anticipated and should not be a cause for concern for European Central Bank policymakers ahead of their upcoming interest rate decision. Analysts had predicted a 2.7% reading, following a 2.4% year-on-year increase in consumer prices in April. The ECB is expected to lower interest rates after a streak of rate hikes resulted in inflation hovering just above the 2% target, although the pace and extent of these reductions will depend on sustained low inflation levels. Despite the uptick in core inflation in Germany, experts believe this is not likely to impact the ECB's decision next week.
Source: YAHOO