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Spanish Producer-Price Inflation Slows as Economy Shrinks

Spanish producer-price inflation slowed for a third month in December as the economy contracted.

Prices of goods leaving factories, mines and refineries rose 5.2 percent from a year earlier, after increasing 6.3 percent in November, the National Statistics Institute in Madrid said today, matching the median forecast of five analysts in a Bloomberg survey. Prices fell 0.1 percent on the month.

Spain’s economy contracted in the fourth quarter and may shrink 1.5 percent this year, the Bank of Spain estimated on Jan. 23. Crude oil prices rose 8 percent in the 12 months to the end of December.

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