Producer Prices fell 0.4% in July

Producer prices fell 0.4% in July, seasonally adjusted, after rising 0.5% in June, according to the U.S. Bureau of Labor Statistics. The majority of the July decrease was attributable to a fall in prices for final demand services. Year over year, producer prices have fallen 0.2%.

Prices for final demand services fell 0.3% in July after increasing for the previous three months. Much of the decline was due to a fall in margins for demand services, which fell 1.3%. In contrast, prices for final demand services less trade, transportation, and warehousing advanced 0.2%.

The index for final demand goods fell 0.4% in July following three straight increases. Nearly half of the decrease was due to prices for final demand foods, which fell 1.1%. Prices for final demand goods less foods and energy were unchanged.

Read the BLS release.

About Tim Nicholson

Tim Nicholson
Tim Nicholson is an economic research associate at ABA.
More from Tim Nicholson >