FX.co ★ Luxembourg PPI Down for 2nd Month

In Luxembourg, producer prices experienced a 1.8% decline year-over-year in September, following a 0.9% drop in August. This marks the second consecutive period of deflation and is the lowest rate seen in a year. The primary factor contributing to this decline was the reduction in energy costs, which decreased by 8.9%, slightly improving from a 9% fall in August. Additionally, there was a decline in the prices of intermediate goods, dropping by 0.9% compared to a 0.6% decrease previously, and a decrease in capital goods prices by 0.1%, which had seen a marginal increase of 0.1% earlier. In contrast, consumer goods prices rose by 1.9%, though this is a significant decrease from the prior 7% increase. On a month-to-month basis, producer prices in September fell by 0.5%, building on the 0.9% reduction recorded in the previous month.