Germany’s economy is once again under pressure. According to estimates from Destatis, the federal statistics office, annual inflation in Europe’s largest economy accelerated to 2% in October, up from 1.6% in September. 

The figure was in line with the preliminary estimate provided by Destatis analysts. On a monthly basis, German consumer prices rose by 0.4%, also matching the median forecast of economists.

Core inflation in Germany, which excludes volatile food and energy prices, came in at 2.9% in October, as projected. Food prices increased by 2.3% year-on-year, following a 1.6% rise in September. Meanwhile, energy prices dropped by 5.5% on a yearly basis, after falling by 7.6% last month. Prices for services climbed by 4% year-on-year, while goods inflation showed a modest pickup of 0.4%.

Final estimates from Destatis also show the EU-harmonized Consumer Price Index (CPI) rose by 2.4% year-on-year in October, with a monthly increase of 0.4%.