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German inflation slows in to two-and-half year low in Feb

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(Globalpost/GlobalPost)

Inflation in Germany, Europe's biggest economy, slowed to a two-and-a-half year low of 1.5 percent in February from 1.7 percent in January, official data showed on Thursday.

The last time Germany's annual inflation rate was lower was in October 2010.

On a monthly basis, the German consumer price index (CPI) rose by 0.6 percent last month, according to preliminary data compiled by the national statistics office Destatis.

Using the Harmonised Index of Consumer Prices (HICP), the ECB's inflation yardstick, the rate of inflation in Germany also eased to 1.8 percent in February from 1.9 percent in January, Destatis said.

The ECB defines price stability as increases in HICP of close to but just below 2.0 percent.

Preliminary inflation data are calculated using consumer price data for six of Germany's 16 federal states.

Final data, based on statistics for all 16 states, are scheduled to be published on March 12.

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http://www.globalpost.com/dispatch/news/afp/130228/german-inflation-slows-two-and-half-year-low-feb