German inflation hits highest level in more than 70 years

Germany’s annual rate of inflation accelerated again in September, beating forecasts and posting the highest reading since December 1951, according to preliminary data released by German statistics office Destatis on Thursday. The consumer price index–a measure of what consumers pay for goods and services–rose 10.0% in September compared with the same month a year ago measured by national standards, up from 7.9% in August, preliminary data from German statistics office Destatis showed Thursday. Economists polled by The Wall Street Journal expected inflation to come in at 9.5%.

Consumer prices rose 10.9% on year by European Union harmonised standards, above economists’ forecast of 10.2%. Since Russia’s invasion of Ukraine, energy prices have markedly increased and have had a considerable impact on the high rate of inflation, Destatis said. Energy prices rose 43.9% in September year-on-year. Food prices also increased above average, posting a 18.7% on-year increase, Destatis said. Other factors pushing inflation higher are supply-chain problems and significant price increases as the economic recovery got under way, Destatis said.

Consumer prices rose 1.9% on month by national standards and 2.2% by EU-harmonised standards. Economists polled by the Wall Street Journal had expected prices to rise 1.5% on month by both national standards and EU-harmonised standards. MarketWatch