Bavaria CPI
November: +0.2% m/m, +1.7% y/y
October: +0.1% m/m, +1.4% y/y
—
Pan-German CPI
MNI median forecast: -0.1% m/m, +1.5% y/y
MNI forecast range: -0.3% to +0.2% m/m
October: +0.1% m/m, +1.3% y/y
—
BERLIN (MNI) – Consumer prices in the German state of Bavaria rose
0.2% in November, lifting the annual inflation rate to +1.7% from +1.4%
in October, the state statistics office said Friday.
The monthly result was well above the median forecast of -0.1% for
pan-German CPI in an MNI survey of analysts. Earlier today the states of
Saxony, Brandenburg, Hesse and North-Rhine Westphalia all reported
monthly inflation in November above expectations, in a range of
unchanged to +0.1%.
Similar to the other states, monthly consumer price developments in
Bavaria were driven by heating oil (+1.9%) and food (+1.6%), especially
seasonal foods (+6.1%).
Annual price developments were marked by rises in heating oil
(+19.1%) and seasonal foods (+13.7%).
Core inflation (ex-heating oil and motor fuels) was up 0.1% on the
month and increased 1.2% on the year. Motor fuels rose 1.0% on the month
and 7.0% on the year.
Despite the ongoing economic recovery, German economic activity is
still well below pre-recession levels, analysts note. Underlying
inflation pressure will likely remain subdued for the time being, they
predict.
Given slowing global demand and increasing fiscal tightening, the
German recovery is set to moderate. Remaining spare capacity is, thus,
seen keeping core inflation down.
For detailed information see data table on MNI MainWire.
–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com
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