Inflation in Germany accelerated to a record 8.7% in May

According to data from the German Federal Statistical Office Destatis, consumer prices harmonized with EU standards jumped by 8.7% year-on-year in May. This indicator has become a record since the beginning of his calculations. Analysts had expected a more moderate growth of 8%. Inflation in April was fixed at 7.8%. 

On a monthly basis, consumer prices increased by 1.1% in May after an increase of 0.7% in April. Experts expected an increase of 0.5%.

Consumer prices calculated only by German standards jumped by 7.9% y/y and 0.9% m/m in May. Analysts had expected growth of 7.6% and 0.5%, respectively. 

According to the Destatis report, annual growth has become a record since the winter of 1973-74.

Energy carriers rose the most: the price increase in May amounted to 38.3% in annual terms after an increase of 35.3% in April. Food prices rose by 11.1% (in April – by 8.6%). The growth of prices for services slowed to 2.9% from 3.2%.