Germany Wholesale Inflation Quickens

Wholesale prices in Germany rose 0.7% year-on-year in August 2025, accelerating from a 0.5% gain in the previous month and marking the ninth consecutive monthly increase. Food, beverages, and tobacco prices climbed 4.2%, led by sharp rises in coffee, tea, cocoa, and spices (17.7%), sugar and bakery products (14.5%), meat and meat products (9.4%), live animals (8.9%), and milk, milk products, eggs, and oils (7.4%). Prices for non-ferrous ores and metals also surged 21.1%. In contrast, notable declines were seen in solid fuels and mineral oil products (-6.9%), waste and scrap (-10.4%), computers and related equipment (-4.9%), and iron, steel, and ferrous semi-finished products (-4.6%). On a monthly basis, wholesale prices shrank 0.6%, far steeper than a 0.1% fall in July, defying expectations for a 0.2% rise and pointing to the strongest decline in a year.