Producer Prices Germany Euro-Zone
Measures the change in the prices paid by domestic producers. Producer prices, also known as factory gate prices, are those charged by producers usually before retail, consumer markets. Increases in German Producer Prices act as an early indicator of inflation, as higher producer prices may be passed to consumers in the form of higher retail prices. Rising inflation is significant, especially coming from the largest economy in the Euro-zone. German inflation will contribute to Euro-zone figures, and may be checked by increasing interest rates. The headline is expressed as percentage change in the Producer Price Index.
Note: German PPI excludes volatile items, such as energy components and seasonal food, in order to provide a more accurate picture of price developments.
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