Producer prices fell 0.5 percent in September, seasonally adjusted, after remaining unchanged in August according to the U.S. Bureau of Labor Statistics. The September decrease was attributable to a decrease in prices for final demand goods and services.
Prices for final demand goods fell 1.2 percent, the largest decline since January when prices fell 1.9 percent. Over two thirds of September’s decline was attributable to prices for gasoline, which fell 16.6 percent during the month. Prices for final demand goods less foods and energy remained unchanged, while prices for final demand foods fell 0.8 percent.
The index for final demand services decreased by 0.4 percent – the largest decline since February. Nearly half of the decline could be traced to prices for final demand services less trade, transportation, and warehousing which fell 0.3 percent. Over 25 percent of the decline was attributable to a drop in prices for securities brokerage, dealing, investment advice, and related services, which fell 4.3 percent.
Read the BLS release.
