German Inflation Set to Rise in September

Inflation in Germany looked set to pick up this month as surging oil prices continue to fuel headline consumer prices, data showed on Friday. In the central state of Hesse, the consumer price index (CPI) rose by 2.2 percent on a 12-month basis in September, sharply faster than the 1.6 percent recorded in August. The regional statistics office in Wiesbaden attributed the pick-up to the continued rise in prices for oil products. Excluding oil, CPI would have risen by just 1.3 percent year-on-year, the statisticians calculated. Regional cost of living data from six so-called indicator states -- Baden-Württemberg, Bavaria, Brandenburg, Hesse, North Rhine-Westphalia and Saxony -- are used to calculate preliminary pan-German inflation. Hesse was the first state to publish September CPI.