German producer price gains ebb in June

Factory gate prices in the single currency area's largest economy dropped last month.

According to Destatis, in seasonally adjusted terms, German producer prices fell at a month-on-month pace of 1.4% in June.

That brought the annual rate of increase down from 4.1% in May to 1.0%.

In comparison to a year earlier, it was the prices of capital goods and non-durable consumer goods that had exerted the greatest upwards pressure.

Capital goods prices were up 6.5% year-on-year and those of non-durable consumer goods by 10.1%.

Versus the previous month, those two categories saw increased of 0.2% and 0.1%, respectively.

Food prices had gained 11.9% over the past 12 months with the price of sugar surging by 92%, followed by a 42% jump in those of processed and preserved potatoes.

Prices for intermediate goods declined by 1.1% over the month and those for energy by 3.5%.