Danish Inflation Rate More Than Triples to Five-Year High

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Denmark registered a surge in inflation in July, driven by a sharp rise in the cost of food, drink, restaurants and hotels, pushing the country’s consumer price index above its eurozone’s peers, the Financial Times reported. The leap from 0.4 per cent to 1.5 per cent in year-on-year inflation makes this the highest rate since December 2012 in a country where price rises have long been subdued with the help of its currency peg. Denmark’s central bank targets inflation at close to but below 2 per cent. A leap in food and drink prices was behind the July surge, climbing 4.1 per cent compared to the same month last year. The cost of hotels, cafes and restaurants also rose 3.6 per cent, with education costs 3.4 per cent higher. The reading means Denmark’s inflation rate has leapfrogged the eurozone’s for the first time since last June. Read more. (Subscription required.)