Economics
German Consumer-Price Slump Worsens as ECB Readies Stimulus
- Consumer prices fall 0.7% year-on-year, versus est. -0.4%
- Euro-area inflation due Tuesday also set to remain negative
This article is for subscribers only.
Germany’s consumer-price slump unexpectedly worsened in November, adding to the case for additional monetary stimulus from the European Central Bank.
The inflation rate dropped to -0.7% from -0.5%, the steepest decline in more than a decade. Economists had forecast a slight improvement. Inflation in Europe’s largest economy has been negative since August as a result of a sales-tax cut the government introduced to spur consumption.