In August, Germany's PPI fell by 0.8% year-on-year, which is smaller than expected.

The German Federal Statistical Office reported on Friday that Germany's Producer Price Index (PPI) in August decreased by 0.8% year-on-year and increased by 0.2% month-on-month. The year-on-year decrease was smaller than expected, with analysts surveyed by Reuters predicting a 1.0% decrease. The decrease in August PPI year-on-year was mainly due to the decline in energy prices, while prices for capital goods, consumer goods, and intermediate products increased. In August, energy prices in Germany decreased by 4.6% year-on-year, but increased by 0.8% month-on-month. Compared to the same month last year, the decline in natural gas and electricity prices had the largest impact on the energy change rate. Among all consumer groups, natural gas prices decreased by 10.1% year-on-year, and electricity prices decreased by 9.2%. Prices for petroleum products decreased by 4.7% year-on-year and by 2.5% month-on-month. Excluding energy, the PPI in August increased by 1.2% year-on-year, while remaining unchanged month-on-month. Prices for intermediate goods saw a slight increase. In August, intermediate product prices increased by 0.7% year-on-year, but decreased by 0.3% month-on-month, with price changes varying across different product groups. Additionally, prices for capital goods, consumer goods, and durable goods increased. In August, capital goods prices increased by 2.0% year-on-year and by 0.1% month-on-month. Consumer goods prices in August increased by 1.0% year-on-year and by 0.1% month-on-month. Durable goods prices in August increased by 0.9% year-on-year and by 0.2% month-on-month.