German producer prices post biggest increase on record

By Maria Martinez

German producer prices rose sharply in July, driven by higher energy prices, posting the largest increase on record, German statistics office Destatis said.

Producer prices rose 37.2% year-on-year in July, German statistics office Destatis said on Friday. This follows a 32.7% increase in June and a 33.6% increase in May.

Compared to the previous month, the producer price index rose 5.3% in July, also the highest monthly increase on record.

Energy prices rose 105.0% from a year earlier, Destatis said. Sharp increases in the price of natural gas, up 163.8% year on year, as well as a 125.4% increase in electricity prices, were the main factors behind this increase, did he declare.

The producer price index excluding energy rose 14.6% year on year, according to Destatis.

The prices of intermediate goods increased by 19.1% compared to the previous year. Significant price increases were recorded by metals, which rose 24.1% in July, Destatis said.

Prices of non-durable consumer goods rose 16.2% year on year, prices of durable consumer goods rose 10.9% and prices of capital goods rose 8.0%, according to Destatis data.

Write to Maria Martinez at [email protected]

James R. Rhodes