German producer prices sise for first time in 17 months

Producer prices in Germany unexpectedly increased by 0.1% year-on-year in November 2024, recovering from a 1.1% decline in the previous month and surpassing market expectations of a 0.3% drop.

German producer prices sise for first time in 17 months

This marked the first rise in producer prices since June 2023, primarily driven by a 1.9% increase in capital goods, led by higher costs for machinery (2.0%) and motor vehicles and parts (1.4%). Prices also rose for consumer goods (0.9%), non-durable consumer goods (2.4%), and intermediate goods (0.4%). At the same time, energy prices fell at a slower pace (-2.4% vs -5.6%), with declines in mineral oil products (-8.6%), light heating oil (-13.2%), motor fuels (-8.4%), natural gas (-7.5%), and electricity (-3.1%).

Core figures

Excluding energy, producer prices rose by 1.3%. On a monthly basis, producer prices increased by 0.5%, the largest gain since April 2023, following a 0.2% rise in October and exceeding market forecasts of a 0.3% increase.