A steel worker of ThyssenKrupp walks in front of a blast furnace at a ThyssenKrupp steel factory in Duisburg, western Germany, Nov 14, 2022. REUTERS/Wolfgang Rattay/File Photo
BERLIN -German producer prices fell by 12.6 percent on the year in August, the federal statistics office reported on Wednesday, as hopes grow for further easing of inflation in Europe’s largest economy.
The fall, in line with analysts’ expectations in a Reuters poll, was the strongest decline in producer prices since the beginning of the series, the office said.
READ: German wholesale prices continue downward trend in August
Germany’s producer price index, considered a key indicator for inflation, has been easing steadily over the past year after Russia’s invasion of Ukraine in February 2022 pushed up the cost of energy and disrupted supply chains.
In July, German producer prices fell by 6 percent, posting their first decline in over two-and-a-half years as energy price pressures cooled.