Inflation fell simultaneously in many major European economies.

The Vietnam News Agency correspondent in Germany quoted preliminary calculations of the German Federal Statistics Office (Destatis) published on May 31, saying that the inflation rate in this country continued to decrease in May 2023 when consumer prices increased by 6 .1% over the same month last year.

In April 2023, the inflation rate fell to 7.2%, the lowest level since August 2022, and economists had expected inflation to drop to 6.5% this May.

The figures from Germany are an important indication of inflation rates across the eurozone, which the European Statistics Authority (Eurostat) will publish on June 1.
Volatility in prices in individual countries in the euro area is decisive for the future interest rate policy of the European Central Bank (ECB).
In early May, the ECB raised the prime interest rate in the eurozone to 3.75% for the seventh time in a row. Experts expect the ECB to continue to raise interest rates further in the near future.
Meanwhile, the unemployment rate in Germany also fell in May 2023 although slower than usual in the spring period.
Despite the weakening economy, the overall labor market has remained stable, and job growth is continuing but has lost some momentum, according to the federal Labor Agency (BA).
The figures show little sign of a significant spring resurgence in the labor market.
The number of unemployed in Germany fell to 2.544 million in May 2023, 42,000 fewer than in April, but 284,000 more than in the same period a year earlier. This rate fell 0.2 points to 5.5% in May 2023. The unemployment rate usually falls in the spring as companies look for more workers after the winter.
However, the labor market revival in the spring depends on the economic situation and weather conditions, which can vary from year to year.
The German economy fell into recession at the beginning of the year as consumers spent less because of high inflation. Many economists expect Europe's largest economy to shrink for the whole of 2023.
Preliminary figures show that in May 2023, consumer price growth in France slowed to 5.1%, down from 5.9% in the previous month.
Meanwhile, data released a day earlier in Spain showed that the country's inflation fell from 4.1% in April to 3.2% in May thanks to falling fuel costs.
Italy's data released on May 31 showed that the country's price growth in May 2023 also decreased from 8.2% in April, to 7.6%. However, this figure is still higher than the target of 2%.
According to the Vietnam News Agency correspondent in Italy, the credit rating agency Moody's Investors Service (Moody's) has revised its forecast of Italy's GDP in 2023 to increase by 0.8%, higher than the 0.3% growth forecast that the agency This agency issued earlier in February 2023.
In contrast, Moody's cut Italy's GDP growth forecast for 2024 from 0.6% to 0.4%.
According to the assessment of Vice President of the European Central Bank (ECB) Luis de Guindos, this is positive information, but it is too early to declare this region winning over inflation.
Speaking at the announcement of the ECB's periodic report on financial stability, he said that Europe is on the right track and countries in the region need to carefully consider the evolution of core inflation, excluding real prices. products and energy.