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Saxony May CPI +6.5% vs +7.6% y/y prior

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Given the readings from the state releases so far today, we should likely see the national reading later come in below the estimate of 6.5%. I reckon we should be getting something around 6.2% to 6.4%, which would represent a notable drop from the 7.2% reading in April.

That said, just keep in mind that a lot of this is still to do with an adjustment to base effects as the high energy prices from last year are being phased out.

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