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Germany’s inflation rate is expected to be on the rise again this month after the first trickle of regional data points to an Easter-induced rise in consumer prices in April.

Annual inflation in Saxony – the first of six German regions to report figures this morning – came in a 2.1 per cent from 1.8 per cent last month.

Having breached 2 per cent in February, Germany’s inflation rate took a hefty tumble to 1.6 per cent last month on the back of the later timing of Easter. But rising travel costs are set to push up the inflation basket this month, according to economists, who are forecasting an annual price rise to 1.9 per cent in April.

The nationwide figure will be released at 1300 BST and will come as the European Central Bank makes its latest monthly policy decision.

No change in interest rates or stimulus measures is expected from Frankfurt but markets will be keeping a close eye on president Mario Draghi’s words around the current state of the eurozone recovery having warned previously that risks to growth remained on the downside.

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