BREAKING: German inflation rate surges in November

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Annual inflation rate in Germany rose to 5.2 % YoY in November, the highest since August of 1993 from 4.5% YoY in previous month and above market estimates of 5.0%. There are several reasons for the high inflation rate, including base effects due to low prices in 2020, the temporary VAT reduction in the second half of 2020, and crisis-related effects, such as delivery bottlenecks and marked price increases which also reflected in the consumer price index. On a monthly basis, the inflation was -0.20%.

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