German Inflation Declines to 2.5% in June

Economic recovery faces challenges as inflation slows, with potential ECB rate cut in September.

Inflation in Germany fell to 2.5% in June, down from 2.8% in May.
Core inflation, excluding food and energy, edged down to 2.9%.
Energy prices significantly contributed to the overall decline in inflation.
Services inflation remained steady at 3.9%, indicating persistent price pressures.
Economists anticipate a possible rate cut by the European Central Bank in September.