Input Stories

Wholesale prices rose in October, “suggesting that the American economy has yet to completely vanquish inflationary pressure” (Associated Press).

What’s going on: “Thursday’s report from the Labor Department showed that its producer price index—which tracks inflation before it hits consumers—rose 0.2% from September to October, up from a 0.1% gain the month before.”

• When compared to October 2023, wholesale prices were up 2.4%, significantly higher than the 1.9% year-over-year gain in September.
• The readings, which came a day after the consumer price index showed a 0.2% increase, were in line with economists’ expectations.

Core PPI: So-called “core” producer prices—which exclude food and energy costs and are said to provide a better signal of inflation’s general direction—inched up 0.3% from September to October and 3.1% from October 2023.

What it could mean: “The Fed’s goal is 2% inflation, and, after years of higher interest rates, the central bank has started reducing its rate target. But stickier inflation reports could cause the Fed to slow its efforts to lower rates” (Washington Examiner).