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German producer prices unexpectedly drop month over month in February

German factory output prices unexpectedly declined in February compared with the previous month, according to data from the Federal Statistical Office.

The index of producer prices of industrial products dropped 0.1% month over month in February, missing the Econoday consensus expectations of a 0.2% increase. Excluding energy prices, which declined 0.2% on a monthly basis, producer prices rose 0.1% in February.

On an annual basis, producer prices rose by 2.6% in February, the same pace of growth as in January and missing Econoday expectations of a 2.9% rise. Energy prices surged 7.5%, while prices of durable consumer goods and capital goods rose 1.6% each.

Excluding energy, producer prices rose 1.3% year over year in February.