According to the report from the Federal Statistical Office (Destatis), wholesale prices rose by 0.1% in May, slowing compared to April (+0.4%) and recording the fourth increase in the last five months. Economists had expected a 0.3% increase. In annual terms, wholesale prices fell by 0.7% after declining 1.8% in April. It was the 13th fall in a row, but the weakest in this series.
Destatis stated that the drop in prices in the wholesale of chemical products (-13.9%) had the biggest impact on the overall development of wholesale prices. On a monthly basis, prices of chemical products fell by 0.9%. The drop in prices was also recorded for iron, steel and ferrous semi-finished metal products (-12.1% per annum and -0.5% m/m). Grain, unmanufactured tobacco, seeds and animal feeds (-5.1%) and milk, milk products, eggs, edible fats and oils (-5.1%) also cost less than a year earlier. On a monthly basis, the prices of grain, unmanufactured tobacco, seeds and animal feeds increased by 3.4%. The data also showed that the wholesale prices rose for non-ferrous ores, non-ferrous metals and non-ferrous semi-finished metal products (+9.7%), coffee, tea, cocoa and spices (+8.2%), sugar, confectionery and bakery products (+7.2%), fruit, vegetables and potatoes (+6.4%) and tobacco products (+5.4%).