FX.co ★ Eurozone Producer Prices Surge

Producer prices in the Eurozone rose by 1.6% month‑on‑month in July 2026, the largest increase since March and above market expectations of a 1.2% gain, following a 0.3% decline in June. The rise was driven primarily by a 5.6% jump in energy costs, reflecting an almost 70% surge in European benchmark natural gas prices, which pushed up electricity bills and raised production costs across a wide range of manufactured goods. By contrast, price pressures were more moderate in other categories: inflation eased for capital goods (0.3%), while prices were unchanged for durable consumer goods and intermediate goods. Costs declined for non-durable consumer goods. On an annual basis, producer price inflation accelerated to 5.8% from 4.6% in the previous month.