Friday June 19, 08:57 AM
German producer prices post 22-year drop
 |
FRANKFURT (AFP) - German producer prices, the cost of goods at the factory gate, fell by 3.6 percent in May on a 12-month basis, the sharpest decline since April 1987, the national statistics office has said.
The producer price index (PPI) was unchanged in May compared with the previous month however, the Destatis office said on Friday.
Annualised producer prices fell faster than in April, when the drop was 2.7 percent.
Analysts had expected no change in May on the month and an annualised fall of 3.5 percent.
The one-month result was the first time producer prices did not decline since October, when they were also unchanged, mainly owing to a 0.7 percent increase in energy prices this time around, Destatis said.
The cost of electricity rose by 2.0 percent from April, though it was 2.0 percent lower than in May 2008, the data showed.
Petroleum products cost 1.7 percent more than in April, but were 26.4 percent less expensive on a 12-month basis.
Steel prices fell on the year by between 32.3 percent and 52.7 percent, depending on the product, and sharp declines were also seen for non-ferrous metals, cereals, and animal feed.
Germany is in the midst of its worst recession since 1945, with the steepest decline in output probably occuring in the first three months of this year, when activity contracted by 3.8 percent from the previous quarter.
|
|
|
Send Article by Email
Send Article by IM
Blog This with Y! 360
Printable View
