On Friday, Commerzbank also had to correct its forecast for inflation this year significantly upwards: Commerzbank chief economist Jörg Krämer now expects 4.2 percent inflation for Germany this year, instead of 3.3 percent as before. For the euro area, he now expects 3.3 instead of 2.4 percent. The European Central Bank (ECB) had previously had to admit that it had underestimated inflation for the current year. The current ECB economic report says that inflation will be above the 2 percent target at least for most of 2022. In December in particular, inflation in the euro zone was 5 percent, higher than many economists had expected. In addition, Kramer emphasizes that there is still no peak in the rise in material prices. The quarterly price report from the FAZ shows that the rise in consumer prices has continued to accelerate over the past three months and is no longer just limited to energy. According to the national consumer price index (CPI), prices in Germany rose by 4.5 percent in October compared to the same month last year, and by 5.2 percent in November. Then in December there was a remarkable situation: while German inflation according to the national consumer price index CPI, which attracts a lot of attention in Germany, continued to rise from 5.2 to 5.3 percent, according to the European calculation method of the harmonized consumer price index (HICP) even fell noticeably, from 6 to 5.7 percent. Germany was thus one of only five countries in the euro zone in which inflation fell in December according to this method of calculation, which is used by the European Central Bank, for example.
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