403
Sorry!!
Error! We're sorry, but the page you were
looking for doesn't exist.
Producer prices in Germany sees 0.8 percent decrease yr/yr
(MENAFN) In July, producer prices in Germany saw a year-over-year decrease of 0.8 percent, marking the slowest rate of decline since June 2023, as reported by the country’s statistical bureau, Destatis, on Tuesday. This figure represents a continuation of a downward trend in producer prices, albeit at a reduced pace compared to previous months.
The 0.8 percent decline follows a sharper 1.6 percent drop in June, extending the streak of decreasing producer prices to 13 consecutive months. This prolonged period of decline has been largely attributed to the reduction in energy costs, which has had a significant impact on the overall producer price index. The data from Destatis highlights how energy prices have been a major factor in the sustained downward pressure on producer prices.
In particular, energy prices experienced a substantial year-over-year decrease of 4.1 percent in July, with notable declines in the costs of natural gas and electricity. Natural gas prices plummeted by 12.3 percent, while electricity costs fell by 9.2 percent, contributing significantly to the overall reduction in producer prices. These sharp declines in energy costs reflect broader trends in the energy market, which have been characterized by volatility and downward pressure over the past year.
Despite the overall decline in producer prices, certain categories saw increases. Capital goods prices rose by 2 percent on an annual basis in July, driven by a 2.1 percent increase in machinery prices and a 1.3 percent rise in motor vehicle costs. Additionally, the prices of non-durable consumer goods went up by 0.6 percent, while durable consumer goods increased by 0.7 percent over the same period. On a monthly basis, producer prices edged up by 0.2 percent from June, indicating some upward movement in certain sectors despite the overall downward trend.
The 0.8 percent decline follows a sharper 1.6 percent drop in June, extending the streak of decreasing producer prices to 13 consecutive months. This prolonged period of decline has been largely attributed to the reduction in energy costs, which has had a significant impact on the overall producer price index. The data from Destatis highlights how energy prices have been a major factor in the sustained downward pressure on producer prices.
In particular, energy prices experienced a substantial year-over-year decrease of 4.1 percent in July, with notable declines in the costs of natural gas and electricity. Natural gas prices plummeted by 12.3 percent, while electricity costs fell by 9.2 percent, contributing significantly to the overall reduction in producer prices. These sharp declines in energy costs reflect broader trends in the energy market, which have been characterized by volatility and downward pressure over the past year.
Despite the overall decline in producer prices, certain categories saw increases. Capital goods prices rose by 2 percent on an annual basis in July, driven by a 2.1 percent increase in machinery prices and a 1.3 percent rise in motor vehicle costs. Additionally, the prices of non-durable consumer goods went up by 0.6 percent, while durable consumer goods increased by 0.7 percent over the same period. On a monthly basis, producer prices edged up by 0.2 percent from June, indicating some upward movement in certain sectors despite the overall downward trend.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.
Comments
No comment