Eurostat statisticians have just published a preliminary estimate of consumer prices for March. Year-on-year, they will rise by only 0.7 percent after 1.2 percent in February. The oil price crash of recent weeks had not yet hit inflation in Germany (see here) too hard yesterday. Higher food prices kept the average for Germany at 1.4 percent. But in the Eurozone as a whole, the oil shock is clearly bouncing back!
Consumer prices for energy fell in March by 4.3 percent year-on-year. Foodstuffs, on the other hand, are continuing their rise with a plus of 2.4 per cent. This still saves the average at 0.7 per cent! It is also interesting to look at the individual countries. Spain (+0.2 per cent), Italy (+0.1 per cent) and Greece (+0.1 per cent) are on the verge of deflation with their data!