Eurozone factory gate prices retreat more than expected in March

Factory gate prices in the euro area retreated by more than expected in March as the cost of energy continued to fall back.

Total industrial producer prices receded by 0.3% month-on-month, according to Eurostat.

Economists had forecast a 0.1% on the month drop in producer prices and a 4.2% rise year-on-year.

A further drop in enery prices, which dropped by 1.7% after retreating by 1.0% in February, was the main culprit.

Excluding energy, industrial prices were higher by 0.2%.

Meanwhile, the cost of intermediate goods rose by 0.5% on the month, after increasing by 0.7% in the month before.

In comparison to the year ago period, industrial prices were 3.9% ahead, following a gain of 4.5% in February.