Germany’s June Inflation Slows to 2.4% as Core Rate Holds at 2.5%

Germany’s annual inflation rate eased to 2.4% in June from 2.7% in the previous month, based on preliminary data released Tuesday by the Federal Statistical Office. According to Jin10, analysts had forecast a June reading of 2.5%. Core inflation, which excludes volatile items such as food and energy, was unchanged at 2.5% from the prior month. The release came ahead of euro zone inflation data due Wednesday. Economists expect euro zone inflation to slow to 3.0% in June from 3.2% a month earlier. The European Central Bank raised interest rates in June for the first time in nearly three years, aiming to curb inflation and prevent surging energy costs from having a broader impact on the euro zone economy.