Ifo Predicts Inflation to Stay Below Two Percent Soon

According to the Ifo Institute, inflation is expected to remain below the European Central Bank's target of two percent in the upcoming months. Energy prices are notably lower compared to a year ago.

While other goods and services may see a slight increase of about 2.5 percent, surpassing the ECB goal. Businesses' price expectations have decreased, especially in the industrial and service sectors.

However, some sectors like gastronomy anticipate price hikes. Despite a slight rise in July, August's inflation rate in Germany is projected to be lower.

Spain's inflation slowed to 2.2% in August, driven by lower fuel and food prices, although the service sector's prices, influenced by tourism, increased, raising concerns about the economy's recovery from the inflation crisis.