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German wholesale prices fall for sixth month in a row

Published 10/16/2023, 01:49 PM
Updated 10/16/2023, 01:51 PM
© Reuters. A gas station attendant refuels a vehicle at a gas station of the company NeebTank in Graefelfing near Munich, Germany, June 1, 2022. REUTERS/Lukas Barth/ File Photo

BERLIN (Reuters) - German wholesale prices fell for the sixth month in a row in September due to lower prices for mineral oil products, data from the federal statistics office showed on Monday, pointing to lower inflation in the coming months.

September's wholesale prices fell by 4.1% compared with the same month last year, the biggest drop since May 2020, the office said.

The 19.8% year-on-year fall in prices for mineral oil products, attributed to a base effect originating from high prices last year due to the war in Ukraine, was the primary driver of the overall decline, according the office.

Easing price pressures in wholesale trade point to lower inflation rates in Germany in the coming months. Wholesalers are the link between manufacturers and consumers, and price reductions usually reach consumers with a delay.

© Reuters. A gas station attendant refuels a vehicle at a gas station of the company NeebTank in Graefelfing near Munich, Germany, June 1, 2022. REUTERS/Lukas Barth/ File Photo

Inflation eased to 4.3% in September, its lowest level since Russia invaded Ukraine in February 2022.

Month-on-month, September wholesale prices were up 0.2%, according to the data.

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