BERLIN (Reuters) – German annual inflation picked up in October to reach its highest level in more than 6-1/2 years, data showed on Tuesday, supporting European Central Bank President Mario Draghi’s case for gradually winding down his unprecedented monetary stimulus.
German consumer prices, harmonised to make them comparable with inflation data from other European Union countries, rose by 2.4 percent year-on-year after an increase of 2.2 percent in the previous month, the Federal Statistics Office said.
That was the highest reading since February 2012 and in line with market expectations. The ECB targets inflation of close to but below 2 percent for the single-currency bloc as a whole.
On the month, EU-harmonised prices rose by 0.1 percent, the preliminary numbers showed, matching the consensus forecast.
(Reporting by Michael Nienaber; Editing by Michelle Martin)