Wholesale inflation in US edged up in July from low levels
Wholesale prices in the United States picked up in July yet still suggested that inflationary pressures have eased this year since reaching alarming heights in 2022
WASHINGTON — Wholesale prices in the United States picked up in July yet still suggested that inflationary pressures have eased this year since reaching alarming heights in 2022.
The Labor Department reported Friday that its producer price index — which measures inflation before it hits consumers — rose 0.8% last month from July 2022. The latest figure followed a 0.2% year-over-year increase in June, which had been the smallest annual rise since August 2020.
On a month-to-month basis, producer prices rose 0.3% from June to July, up from no change from May to June. Last month's increase was the biggest since January. An increase in services prices, especially for management of investment portfolios, drove the month-to-month increase in wholesale inflation. Wholesale meat prices also rose sharply in July.
Analysts said the July rise in wholesale prices, from the previous month's low levels, still reflects an overall easing inflation trend.
The figures the Labor Department issued Friday reflect prices charged by manufacturers, farmers and wholesalers. The figures can provide an early sign of how fast consumer inflation will rise in the coming months. Since peaking at 11.7% in March 2022, wholesale inflation has steadily tumbled in the face of the Federal Reserve's 11 interest rate hikes.
Excluding volatile food and energy prices, «core'' wholesale inflation rose 2.4% from July 2022, the same year-over-year increase that was reported for June. Measured month to month, core producer prices increased 0.3% from June to July after falling 0.1% from May to June.
On
Read more on abcnews.go.com
