Euro Area Producer Prices Change

Industrial producer prices in the Euro Area decreased by 8.3% year-on-year in February 2024, following a revised 8.0% drop recorded in the preceding month, compared with market expectations of an 8.6% decline. Energy prices declined by 21.1%, accelerating from a 20.0% decrease the previous month, while costs for intermediate goods went down by 5.3%, following a 5.4% fall. Meanwhile, inflation slowed for capital goods (2.0% vs 2.2%), durables (1.1% vs 1.2%), and non-durables (1.4% vs 1.9%). Excluding energy, producer prices dropped by 1.5%, marking the steepest drop since December 2009. On a monthly basis, producer prices declined by 1.0%, surpassing market expectations of a 0.7% decrease.