In Munich, Bavaria, Upper Bavaria, Germany, on December 28, 2024, shoppers wander the shopping streets during the holiday season, taking advantage of post-Christmas store sales.
Michael Nguyen | norphoto | Getty Images
German statistics office Destatis said that German inflation jumped to a higher-than-expected level of 2.9% in December, in the first reading since the dissolution of the country’s government late last month.
The country's preliminary CPI reading on Monday was harmonized across the euro zone for comparison. This compares with expectations of 2.6% growth from analysts polled by Reuters.
December was the third month in a row in which German inflation returned to above the European Central Bank's 2% target. Indicator It fell to 1.8% in SeptemberThen jump back in 2.4% in October This level has not changed November.
The latest data comes at a time of political uncertainty in Germany and is one of the last major economic readings before the federal election is held earlier than scheduled on February 23.
Germany is now the former ruling coalition They broke up in NovemberThat's when Chancellor Olaf Scholz fired former Finance Minister Christian Lindner and announced that he would call early elections.
Since then, the country has taken a series of constitutionally mandated steps to pave the way for elections, including a The vote that expressed the loss of confidence in Schulz and The official dissolution of the lower house of the German Parliament By President Frank-Walter Steinmeier.
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