U.S. wholesale prices rose in January, led by gasoline

United States producer prices index for final demand rose 0.6% in January following a 0.2% rise the previous month and this was higher than consensus forecasts of a 0.3% increase for the month.

Despite the surge, the department found the PPI only increased 1.6% in the 12 months through January, following a similar gain in the 12 months through December.

14, 2017, the Labor Department releases is producer price index for January, which measures price changes before they reach consumers.

Versus the year ago period, headline producer prices were ahead by 1.6%, unchanged from December.

The March U.S. Dollar Index is trading at 100.86, down 0.08. The rise in producer prices comes as manufacturers are reporting paying more for raw materials.

Final demand services-sector prices rose 0.3% with a 1.1% increase in transport and warehousing costs.

The recent pick up in wholesale prices is due to the increases in the prices of commodities such as crude oil.

Rising energy costs have recently become a prime source of inflation, reversing a trend in recent years in which falling oil prices were suppressing inflation. That was the largest increase since September 2012 and followed a 0.2 percent rise in December. Health care costs rose 0.2%. Those costs feed into the Fed's preferred inflation measure, the core personal consumption expenditures (PCE) index.

Producer costs excluding volatile components such as food, energy, and also eliminating trade services advanced 0.2 percent after climbing 0.1 percent the previous month.

Prices for final demand less foods, energy, and trade services rose 0.2% in January after inching up 0.1% in December.

Related:

  • Stranger Things Creators Wants Longer Run for Netflix Series

    We had no security protocols last season and we have extensive security protocols this season . It'll definitely be interesting to see how Stranger Things evolves as the show progresses.

    Tesla officially launches in the UAE

    Although Musk argues for a "merger of biological intelligence and digital intelligence", he is incredibly wary of "deep AI". He claims that within 20 years, up to 15% of the world's workforce will be rendered redundant by artificial intelligence.

    EC forecasts United Kingdom growth will slow to 1.5% in 2017

    Private consumption is projected to continue growing robustly, supported by favourable labour market developments. This is still "short" of the ECB's target of an inflation "below, but close to 2 percent", the Commission said.
  • Trump Calls Buhari, promises new military deal against Boko Haram

    Trump is scheduled to later call Jacob Zuma , President of South Africa to also wish him the same (Happy Africa Day). Presidential spokesman, Femi Adesina , has issued a statement to confirm the development.

    LSU QB Brandon Harris announces plans to transfer

    MS quarterback Myles Brennan is set to arrive over the summer, giving the Tigers five scholarship quarterbacks on the roster. Danny Etling was LSU's quarterback for the remainder of the season after taking over in-game against Jacksonville State.

    Four dead as avalanche hits ski resort of Tignes in French Alps

    Local officials declared the avalanche risk throughout the region to be high, at a rating of three out of five. This is the deadliest avalanche accident so far this winter in the Alps and Pyrenees .
  • Pats' QB Brady says Super Bowl comeback not his best game

    One week after the Super Bowl, Brady took time to speak with veteran National Football League reporter Peter King of MMQB. Atlanta wound up not scoring on the drive, thanks to a Patriots sack and a penalty that took it out of field-goal range.
    Chance The Rapper Finally Won A Grammy. Then He Won Another One

    Chance The Rapper Finally Won A Grammy. Then He Won Another One

    We can only hope that Chance will maintain his stride, sticking to his guns and pursuing even more accolades as time passes. Adele won all five gramophones she was nominated for, including the big ones: Album, Record and Song Of The Year .
    Photos of Trump's 'Nuclear Football' Emerge, Are Entirely Unremarkable

    Photos of Trump's 'Nuclear Football' Emerge, Are Entirely Unremarkable

    He posted several images of a man he identified as the presidential aide who carries the nuclear codes, or "football", identifying the aide by name.
  • More than 500 Calif. inmates evacuated due to dam flooding dangers

    Jerry Brown that the void in the Oroville Dam could cost $100 million to $200 million to fix , The Sacramento Bee reports . An evacuation center has been established for Oroville residents at the Silver Dollar Fairgrounds in Chico.

    Taco Bell Las Vegas Wants to Host Your Wedding

    The Denny's on Fremont Street in downtown has been offering a $199 wedding package since 2013. Luckily, Taco Bell are providing an alternative by building their own chapel in Las Vegas.

    ED Secretary DeVos Tells States to Maintain ESSA Timelines

    Those of us who believe in public education have an obligation to be open and honest about the progress our schools are making. The unions' line on DeVos, during the debate on her nomination, was: Defeat the nomination or watch public education disappear.

Comments

Other news