Inflation in Europe's largest economy slackened to 2.3%, its lowest level since June 2021. German consumer prices, harmonised to compare with other European Union countries, had risen by 2.7% year-on-year in February.
Underlying inflation is closely watched by the European Central Bank to gauge the durability of price pressures. Energy prices were 2.7% lower in March than in the same month of the previous year. Since the beginning of the year, energy prices have consistently fallen, dragging headline inflation down.Germany's inflation is supported by a rising trend in services, whose prices are increasingly dominated by a sharp jump in wage costs, as well as a rise in rents.Meanwhile, consumer prices in France, rose 2.
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