April: +0.3% m/m, +9.4% y/y
March: +1.1% m/m, +11.3% y/y
February: +1.1% m/m, +11.9% y/y
—
FRANKFURT (MNI) – German import price inflation slowed notably in
April, as the boost from energy diminished by over two thirds, the
Federal Statistical Office reported on Thursday.
After a 1.1% monthly spurt in both February and March, import
prices rose by a more modest 0.3% in April, narrowing the annual
increase to 9.4% from 11.3% in March.
Energy imports were 2.0% costlier than in March and 31.2% higher
than a year earlier. Excluding energy, core import prices were 0.1%
lower on the month, resulting in an annual rise of 5.1%.
In early May, a sharp drop in oil prices resulted in the steepest
decline in commodities in over two years. Crude has yet to recoup its
losses, suggesting that support from energy on overall import prices
could wane further in the near term.
However, import prices could still see some upward pressure.
Earlier this week, the euro sank to two-month lows against the U.S.
dollar and to a record low against the Swiss franc, as investors saw a
greater possibility of debt contagion spreading to Italy and Spain. The
euro is currently trading at $1.4176 against the dollar.
Intermediate good imports were 0.2% more expensive than in March,
giving an annual increase of 9.5%.
Capital goods import prices, on the other hand, were 0.4% lower on
the month and down 0.7% on the year.
With both consumer durables and non-durables cheaper, overall
consumer goods import prices fell 0.2% on the month but were still 3.8%
higher than in April 2010.
Export prices were up 0.3% on the month and 4.2% higher on the
year, the statistics office added.
— Frankfurt bureau: +49-69-720 142; email: frankfurt@marketnews.com —
[TOPICS: M$G$$$,MAGDS$,M$XDS$,M$X$$$]
