German inflation back to record level after summer dip

The inflation rate in Germany rose back to its highest level in decades in August after falling for two months in a row.
The first estimate by the Federal Statistical Office, Destatis, gave August inflation as 7.9% compared with the same month a year earlier.
In July, the annual inflation rate had been 7.5%, and in June 7.6%.
In May, the rate hit 7.9% - the highest level since the oil crisis of 1973-74, and the highest ever since German reunification.
The rise in energy prices, in particular, has had a "substantial impact on the high inflation rate," Destatis said in a press release.
Energy prices were 35.6% higher in August this year than in August 2021. Food prices, too, increased above average at plus 16.6%.
From July to August, consumer prices rose by 0.3%, the statisticians said.
Higher inflation rates reduce the purchasing power of consumers because they can then afford less for €1.
Referring to recent government policies to cushion the effect of high inflation on consumers, Destatis pointed out that "the impact of the €9 [public transport] ticket and the fuel discount are included in the results."
It was however, "not possible yet on the basis of the provisional results to show the exact extent of these effects," the office said.
The measures both expire at the end of the month, meaning that travel and fuel will become more expensive, likely bringing further increases in inflation to Europe's largest economy.
Germany's central bank has predicted that inflation, as measured by a separate harmonized index of consumer prices, could hit about 10% in autumn. The August harmonized figure is 8.8%.