Preliminary inflation figures for Germany released on Monday showed inflation easing again, with prices 2.2% higher than the same month last year.
That is down from 2.4% in May, according to preliminary figures from the German Federal Statistical Office.
Core inflation, excluding volatile food and energy prices, was 2.9%. While services in particular became more expensive, energy became cheaper in June.
According to preliminary figures, prices rose by 0.1% in June compared to May.
Economist Sebastian Dullien of the union-affiliated Institute for Macroeconomics and Economic Research (IMK) said the slight increase in inflation in May was an outlier.
“The downward trend in inflation is intact and has now been confirmed again in June. A further slight decline in inflation is expected in the coming months,” he said.
A recent Ifo Institute Munich survey of German companies on pricing plans also found that inflation is likely to continue falling.
“Inflation is likely to continue to decline slowly and fall below 2% in August for the first time since March 2021,” said Timo Wollmershäuser, head of economic research at ifo.
