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Producer prices in the euro area declined in April, contrary to economists forecast for a modest increase, latest data showed Tuesday.
The producer price index decreased 0.2 percent on an annual basis in April, defying expectations for a 0.2 percent increase. In March, prices increased by 0.6 percent, which was revised down from 0.7 percent.
Driving the overall decline, prices in the energy sector decreased 2 percent from a year earlier, and intermediate goods prices dropped 0.3 percent.
These contractions were partially offset by increases of 0.7 percent and 1.9 percent respectively in prices of durable consumer goods and non-durable consumer goods. Capital goods prices were higher by 0.6 percent than in April 2012.
Among the member states, the largest decreases were recorded in Greece, Poland, Sweden and the Netherlands. Meanwhile, Estonia, Romania, Belgium and Latvia logged the highest increases.
Producer prices dropped 0.6 percent compared to March 2013, when they recorded a 0.2 percent fall. The index was forecast to decline 0.2 percent month-on-month.
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