Industrial producer prices in the Euro Area increased 0.5 percent month-over-month in September 2018, following an upwardly revised 0.4 percent rise in the previous month and compared to market expectations of a 0.4 percent gain. Energy prices climbed 1.6 percent, after a 1 percent advance in August; and intermediate goods costs edged up 0.1 percent, the same pace as in the previous period. On the other hand, prices of capital, consumer and non-durable consumer goods were unchanged. Year-on-year, producer prices jumped 4.5 percent in September, the most since February 2017. Producer Prices in the Euro Area averaged 79.80 Index Points from 1981 until 2018, reaching an all time high of 105.30 Index Points in September of 2018 and a record low of 49.10 Index Points in January of 1981.
Producer Prices in Euro Area is expected to be 105.67 Index Points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Producer Prices in Euro Area to stand at 107.72 in 12 months time. In the long-term, the Euro Area Producer Prices is projected to trend around 110.48 Index Points in 2020, according to our econometric models.