German inflation looked set to ease in April after regional data today showed cheaper food and package holiday prices offsetting more expensive fuel.
Germany accounts for around a third of the pan-euro zone consumer price index, which in March showed annual inflation of 2.1 per cent, just above the European Central Bank's 2 per cent tolerance threshold.
Economists said on the basis of figures from the states of Brandenburg, Hesse and Saxony, which provided a first glimpse from a major economy of inflation trends across the 12-nation bloc, that German consumer prices were probably unchanged or fell on the month.
However, they were less certain that lower German inflation would translate into a fall in the wider euro zone figure.
Brandenburg and Saxony reported that consumer prices were unchanged on the month, as cheaper food and holidays offset higher energy prices. Hesse said prices fell 0.2 per cent month on month.
All reported a drop in rates of annual inflation. North Rhine-Westphalia state, Germany's most populous, is due to report its data on Monday.
But the Federal Statistics Office will probably not release preliminary pan-German figures until Tuesday, after reports from the states of Baden-Wuerttemberg and Bavaria. Baden-Wuerttemberg said today it would probably not release its data before Tuesday afternoon.