German real wage growth continues to accelerate in third quarter

Retail sales in Germany declined monthly in October; meanwhile real wage growth accelerated in the third quarter of the year, data published by the Federal Statistical Office showed Friday.

Import prices rose by 0.2% monthly in October, the same pace as in September, and faster than the FXStreet-cited consensus of no change. The annual decline in import prices slowed to 1.4% in October from 1.0% in September. The consensus was for a sharper deceleration in the annual fall of import prices to 1.6% in October.

Export prices were up 0.2% monthly in October, compared to no change in September. The annual rise decelerated to 0.5% in October from 0.6% in September.

Meanwhile, German retail sales fell by 0.3% monthly in October after a 0.3% uptick in September, underperforming against the consensus of 0.2% growth in October. September's increase was revised up from 0.2%.

Annual retail sales growth accelerated to 0.9% in October from 0.8% in September, easily outperforming consensus of a 0.2% uptick in October. September's growth was sharply revised up from growth of just 0.2%.

Finally, real wages in Germany were 2.7% higher on-year in the third quarter, better than 1.9% growth in the second quarter, which had beaten real wage growth of 1.2% in the first quarter of 2025.