Economic Trends
PPI Sees Biggest Increase Since June
Year-to-year food prices abated to 11.6%, which is historically high but also the lowest annual increase since October 2021.
Inflation
Inflation data released Feb. 16 by the Bureau of Labor Statistics showed wholesale prices increased in January but cooled on an annual basis.
For the 12-month period ending in January, the Producer Price Index — which measures what suppliers charge businesses — increased by 6%. That’s down from December’s revised 6.5% level, and it’s the lowest since March 2021.
The US producer price index jumped 0.7% from December to January. The increase is the largest monthly increase since June 2022, according to BLS data.
Economists predicted a 5.4% year-over-year growth rate and a 0.4% monthly gain, according to Refinitiv.
BLS data show that supplier goods prices rebounded in January, driven by higher energy prices. After declining for three consecutive months, the final demand goods index rose 1.2% last month — the highest gain since June 2022.
Services index increased 0.4%, despite December’s monthly gain.

