German producer prices dip in May as energy costs drag

A decline in energy prices dragged dampened factory gate inflation in the euro area's largest economy last month.

According to the Federal Office of Statistics, producer prices in Germany dipped by 0.1% month-on-month in May, pushing the year-on-year rate of change down from 2.5% for April to 1.9% (consensus: 2.1%).

Energy prices fell by 0.6% versus April, with the price of capital goods 0.1% higher and those for non-durable consumer goods increasing by 0.4%.

But those for durable consumer goods were flat while for intermediate goods they declined by 0.3%.

Excluding energy, producer prices were ahead by 1.1% versus a year ago and unchanged in comparison to April.