Germany's CPI inflation cools slightly to 0.3% MoM and 2.2% YoY in March, down from 2.3% YoY in February and in line with expectations.

• Core inflation eases to 2.5% YoY, down from 2.7% YoY and the lowest since June 2021.
• Services inflation cooled 0.4 ppts to 3.4% YoY, the lowest annual increase since April 2024.
• Goods inflation saw a small increase of 0.1 ppts to 1.0% YoY on faster food price growth (+0.5 ppts to 2.9% YoY) that was partially offset by less deflation in energy.
• HICP inflation was 0.4% MoM and 2.3% YoY, down from 2.6% YoY in February and below expectations of a 2.4% YoY reading. This is the lowest YoY increase since September 2024.