Germany’s annual CPI inflation falls to 1.6% in September

• Inflation in Germany continued to fall in September.
• EUR/USD is trading in positive territory near 1.1200 after German CPI data.

Inflation in Germany, as measured by the change in the consumer price index (CPI), fell to 1.6 percent on an annual basis in September from 1.9 percent in August, Destatis reported. On a monthly basis, the CPI was unchanged after the 0.1% decline recorded in August.

Germany’s harmonized index of consumer prices, the European Central Bank’s preferred gauge of inflation, rose 1.8 percent on a year-on-year basis, down from 2 percent in August and below market expectations of 1.9 percent.

Market reaction

These figures failed to trigger a noticeable reaction in EUR/USD. At press time, the pair was trading near 1.1200, where it was up about 0.3% on the day.