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Spain Producer-Price Inflation Slows For Fifth Month Amid Slump

Spanish producer-price inflation slowed for a fifth month in February as the euro area’s fourth-biggest economy edged toward its second recession since 2009.

Prices of goods leaving factories, mines and refineries rose 3.4 percent from a year earlier, after increasing a revised 3.7 percent in January, the National Statistics Institute in Madrid said today. That matched the median forecast in a Bloomberg News survey. Prices rose 0.6 percent from the prior month.

Prime Minister Mariano Rajoy’s government, in power since December, forecasts a 1.7 percent economic contraction this year as export growth slows and the deepest austerity measures in at least three decades undermine domestic demand.

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