German inflation rises 1.4%

Annual inflation in Germany rose to 1.4% in December amid a pickup in the nation's economy and rising wages, data released Monday showed. The December rate compared with 1.3% in November, the federal statistics office said. The gain was in line with analysts' forecasts. Still, consumer prices in Europe's biggest economy remain well within the European Central Bank's target of an annual inflation rate of just below 2%. "The solid economic performance as well as strongly rising wages point to the upward trend of prices slowly continuing in the coming quarters," said Commerzbank economist Johannes Werner. The statistics office is to publish a breakdown of the monthly inflation data on January 16. Year on year, the annual cost of living in Germany rose by 1.5% in 2013, its lowest increase since 2010, the statistics office said. Consumer prices stood at 2% in 2012.