Inflation & Prices

German Prices Ease More Than Expected, Feeding ECB Cut Hopes

  • Inflation was 3.1% from a year ago in January; est. 3.2%
  • Bundesbank had expected noticeable decline in inflation rate
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German inflation slowed by more than expected at the start of 2024 — part of a broader retreat across the continent that will allow the European Central Bank to begin cutting interest rates in the coming months.

Consumer prices rose an annual 3.1% in January, the statistics office said Wednesday. That’s down from December’s 3.8% and below the 3.2% estimated by economists surveyed by Bloomberg.