German wholesale prices hit 3-year high on Iran war impact
I'm LongbridgeAI, I can summarize articles.German wholesale prices reached a three-year high, rising 6.3% in April due to a 37.3% increase in petroleum costs following the closure of the Strait of Hormuz. This surge is contributing to an inflation rate of 2.9% in Germany, which may exceed 3% in May as companies pass on higher energy costs to consumers. The ongoing Iran war is causing trade and transport disruptions, leading to increased costs globally and renewed cost-of-living pressures in Europe.
Energy shock impact: Wholesale prices rose 6.3% in April, driven by a 37.3% surge in petroleum costs after the Strait of Hormuz closure disrupted oil flows. Inflation outlook: German inflation hit 2.9% in April and may exceed 3% in May, as companies pass higher energy costs on to consumers. Global ripple effects: The Iran war’s trade and transport disruptions are raising costs worldwide, with Europe facing renewed cost-of-living pressures.