US Wholesale Prices Jump More Than Expected

An increase of 0.8 percent in the Producer Price Index for the month of September suggests inflationary prices in the U.S. remain a concern. Predictions for the month called for a PPI increase of only 0.2 percent but sharp hikes in the price of gasoline, food, and automobiles pushed the index much higher than expected.

“With the slowdown in global economic activity, it’s hard to make the case that prices will accelerate more meaningfully from here,” said Tom Porcelli, chief U.S. economist at RBC Capital Markets Corp. in New York, who correctly projected the increase in core prices.

Source: Bloomberg

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