Preliminary inflation figures for Germany released on Monday showed inflation fell again, with prices 2.2% higher than in the same month last year.
This is a decrease compared to 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.
Compared to May, prices rose by 0.1% in June, preliminary figures show.
Economist Sebastian Dullien of the labor-related 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 was reconfirmed in June. A further slight decline in inflation is expected in the coming months,” he said.
A recent survey of German companies on pricing plans by the Munich-based ifo institute also found that inflation is likely to continue to fall.
“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.
