Keeping you up to date on the latest data releases.
The Producer Price Index (PPI) for finished goods increased at an annualized rate of 5.5 percent in October, matching September’s increase. While September’s overall jump up was largely driven by increasing food prices, the increase in October was due to rising energy prices. Over the past 12 months, the index is up 4.3 percent. Excluding food and energy prices, the (“core”) PPI plummeted 6.7 percent, its third sharpest decline since the series began in 1974. However, on a not-seasonally-adjusted basis, the core PPI actually rose 7.1 percent and combined with some historically larger unadjusted price increases in October, hints at a seasonal adjustment issue. On a year-over-year basis the core PPI is still up 1.5 percent.