All articles tagged with #producer price index
Treasury yields rose ahead of the June producer price index data, with the 10-year at 4.612%, the 2-year at 4.225% and the 30-year at 5.118%, as traders await the PPI print; consensus expects June PPI to be flat with a 0.3% core gain after a cooler CPI raised hopes for a potential Fed rate cut later this year.
China's May PPI rose 3.9% year over year—the fastest since July 2022—driven by higher input costs from the Iran conflict and AI-driven demand for tech hardware; consumer prices climbed 1.2% YoY (core 1.1%), with monthly CPI dipping 0.1% as consumer inflation stays modest. Wholesale pressures reflect higher energy and metal costs, while exports surged about 19% YoY, even as domestic demand remains weak and factory margins face squeeze.
U.S. inflation remains stubborn, with the April Producer Price Index for final demand up 1.4% and 6% higher over the past year (core up 4.4%), as energy and transportation costs feed broader price pressures beyond tariffs tied to the Iran war. The data complicate hopes for Fed rate cuts this year, with some officials signaling possible tightening; markets price a meaningful chance of higher rates by year-end (about 34%).
Gas prices jumped 15.6% in April, accounting for about 40% of the month’s rise in prices businesses paid, as the Producer Price Index rose 1.4% for the month and 6% year over year. Core PPI also climbed 1% for the month (5.2% annually), suggesting some higher costs may be passed through to consumers. The article notes Iran-era tensions are weighing on US businesses, likely keeping inflation pressure elevated and potentially pushing prices higher for shoppers.
March PPI rose 0.5%—below the 1.1% consensus—driven mainly by energy costs (gasoline +15.7%, diesel +42%), while core PPI advanced only 0.1%. The all-items PPI climbed 4% year over year (core 3.8%), with services flat. The inflation signal remains mixed as energy pressures ease and guidance toward the Fed’s 2% target supports expectations for rates to stay on hold; markets showed little reaction to the data.
U.S. wholesale prices rose 0.5% in March, lifting the annual Producer Price Index to 4.0% — the highest in three years — as higher energy costs flowed through to production costs; economists had expected a 4.6% annual rise, and the data suggest inflationary pressures that could spill into consumer prices.
U.S. wholesale prices rose 3.4% in the latest month—the fastest monthly gain in a year—driven by higher energy costs as tensions around Iran push crude and gasoline prices higher.
China's February consumer prices rose 1.3% year-on-year—the highest in 37 months—driven by Lunar New Year holiday demand for services, travel, and items like flights and jewelry, while producer prices fell 0.9% y/y, the mildest since mid-2024, signaling ongoing weak demand. Analysts caution that an energy shock from Middle East tensions could push inflation higher briefly, but a supply-demand rebound and policy easing may temper the impulse as authorities seek to rebalance the economy.
China’s February CPI rose 1.3% year over year (1.0% month over month) and core CPI hit 1.8%, while the PPI remained deflationary at -0.9% year over year as service-price gains during the Lunar New Year supported the uptick. The authorities kept the 2026 inflation target around 2% and continued incremental stimulus to bolster domestic demand, with growth likely aided by exports amid geopolitical tensions that lifted commodity prices.
U.S. wholesale prices increased 0.5% in January from December and were up 2.9% from a year earlier, signaling persistent inflationary pressure as producer costs climb.
U.S. Treasuries eased as investors braced for a wholesale inflation read (PPI) while parsing a still-robust labor market: 10-year yields around 4.023%, 30-year about 4.675%, and 2-year near 3.452%. Initial unemployment claims for the week ended Feb. 21 came in at 212,000, below expectations of 215,000, signaling resilience despite a solid January payrolls print. Traders expect Friday’s PPI to rise about 0.3% for both headline and core measures, a cooler report that could boost risk appetite for stocks.
US wholesale prices rose 0.2% in November, driven by higher energy costs, while the core PPI (excluding food and energy) was unchanged from October, signaling limited pass-through of higher costs. The data come as consumer inflation cools and investors await the Fed’s next policy move.
The U.S. producer price index unexpectedly declined by 0.1% in August, signaling subdued inflation and fueling expectations of a Federal Reserve rate cut next week, with market reactions remaining muted ahead of the upcoming consumer price index report.
Recent data shows minimal inflation from tariffs, with wholesale prices rising only slightly in May, suggesting that trade tensions haven't yet caused significant price increases, which may influence the Federal Reserve's interest rate decisions.
Wholesale prices increased by 0.4% in November, driven largely by a significant rise in food costs, particularly chicken eggs, which surged by 55%. This marks the largest monthly gain since the summer and a 3% increase over the past year. While some components of the Producer Price Index, such as portfolio management fees and hospital care, saw slower price gains, economists expect the upcoming Personal Consumption Expenditures Price Index to show a modest rise, indicating a potential slowdown in core inflation. However, concerns about future inflation persist.