German inflation slows down in December, likely to average 1.9 pct in 2018

Germany’s preliminary headline inflation for December slowed down in December. The consumer price index came in at 1.7 percent on a year-on-year basis, a slowdown from prior month’s 2.3 percent. Consensus expectations were for headline inflation were at 1.9 percent. On a sequential basis, consumer prices came in at 0.1 percent, as compared with consensus expectations of a rise of 0.3 percent.

The Federal Statistical Office (Destatis) also reported that, on an annual average, the inflation rate is likely to come in at 1.9 percent this year. Consensus expectations were for 1.9 percent.

Meanwhile, the harmonised index of consumer prices for Germany came in at 1.7 percent in the month, a slowdown from 2.2 percent. On a sequential basis, the index came in at 0.3 percent. On an annual average, the harmonised index of consumer prices is likely to rise 1.9 percent in 2018.

At 17:00 GMT the FxWirePro's Hourly Strength Index of Euro was neutral at -31.2884, while the FxWirePro's Hourly Strength Index of US Dollar was neutral at 37.6591. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex