Data published by the Federal Statistical Office (Destatis) showed that in February, producer price growth slowed down again (for the 5th month in a row), recording the slowest rate of increase in 17 months. However, the price increase exceeded the forecasts of experts.
According to the report, the producer price index increased by 15.8% per annum after an increase of 17.6% per annum in January (revised from +17.8%). Economists had expected an increase of 14.5% per annum. On a monthly basis, producer prices fell by 0.3%, slowing down compared to January (-1.2%, revised from -1%). Consensus estimates suggested a 0.5% drop.
Destatis stated that energy prices as a whole increased by 27.6% per annum, which was mainly due to a strong increase in natural gas prices (distribution). Compared to January, energy prices decreased by 1.4%, including mainly due to lower prices for natural gas. Natural gas prices (distribution) increased by 38.9% per annum, and electricity prices for all consumer groups increased by 27.1% per annum. Prices for petroleum products increased by 5.1% compared to February 2022 and decreased by 1.7% compared to January.
The producer price index excluding energy increased by 10.2% compared to February 2022 and by 0.5% on a monthly basis.