from September 2023.
Shipping containers pictured in Long Beach, California. File Photo by Jim Ruymen/UPI | License Photo
Oct. 11 (UPI) — In another sign of easing U.S. inflation, Producer Price Index September wholesale inflation was unchanged Friday, lower than the 0.1% expected by surveyed Dow economists. It rose 1.8% from September 2023.
“The Producer Price Index for final demand was unchanged in September, seasonally adjusted,” the Bureau of Labor Statistics said in a statement. “The index for final demand less foods, energy, and trade services inched up 0.1% in September after rising 0.2% in August.”
Dow economists had expected September PPI to rise in September by 0.1%. PPI excluding food and energy rose 0.2% in September, meeting expectations.
As wholesale inflation remained flat in September, the BLS said a 0.2% increase in services offset a 0.2% decline in goods prices.
“For the 12 months ended in September, prices for final demand less foods, energy, and trade services increased 3.2%,” the BLS statement said.
On the goods side, the September PPI prices for gasoline fell 5.6%. Processed poultry jumped 8.8%.
Overall, PPI energy prices fell 2.7% in September, according to the BLS.
Retail CPI inflation in September saw the smallest annual hike in more than three years, rising just 0.2%.It was 0.1% above the Dow economists consensus expectation.
Together the September PPI and CPI are further indicators of easing inflation.
The Federal Reserve cut interest rates in September, guided by the economic data showing falling inflation. The Fed is expected to further cut interest rates again in 2024.