Berlin, June 18, (dpa-AFX/GNA) – Germany’s producer prices increased to the highest level in 12.5 years in May, Destatis reported on Friday.
Producer prices increased 7.2 per cent year-on-year in May, faster than the 0.8-per-cent rise seen in April.
Economists had forecast an annual growth of 6.4 per cent. This was the biggest growth since October 2008, when prices rose strongly before the financial crisis.
The latest inflation was mainly due to higher prices of intermediate goods and energy, by 10.7 per cent and 149 per cent, respectively.
Prices for durable goods increased 1.7 per cent. Prices for capital goods and non-durable goods rose by 1.2 per cent and 0.5 per cent, respectively.
On a monthly basis, producer price inflation rose to 1.5 per cent from 0.8 per cent in the previous month. Economists had expected a 0.7-per-cent rise.