German inflation hits 3-year low

The rate of inflation in Germany, Europe's biggest economy, slowed to its lowest level in more than three years last month on falling oil prices, official data showed on Tuesday. The cost of living rose by 1.2 percent this month on a 12-month basis, compared with 1.4 percent in September, the federal statistics office Destatis said in a statement. It was the lowest level since August 2010, the statement said. Using the Harmonised Index of Consumer Prices (HICP), the European Central Bank's inflation yardstick, inflationary pressures in Germany also seem to be easing, with the inflation rate slowing to 1.2 percent in October from 1.6 percent in September. The ECB defines price stability as increases in HICP of close to but just below 2.0 percent. The data released on Tuesday confirmed a flash estimate released at the end of last month.