Bundesbank, in its monthly report, anticipates a dip in Germany’s inflation rate starting from September. One-off effects, such as the temporary introduction of the “tank discount” and nine-euro ticket, are expected to fade, easing the inflationary pressure.
The Bundesbank also envisions that the recent decrease in prices for primary products will progressively reflect in consumer costs, adding to the deflationary forces.
Contrarily, core inflation rat is projected to remain substantially high over the summer months. The summer season typically witnesses elevated prices for holidays packages, and this year is expected to be no different.
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