The Producer Price Index for final demand decreased 0.5% in July, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This decline followed advances of 1.0% in June and 0.8% in May. On an unadjusted basis, the final demand index moved up 9.8% for the 12 months ended in July.
Prices for final demand less foods, energy, and trade services rose 0.2% in July, after increasing 0.3% in June. For the 12 months ended in July, the index moved up 5.8%.
The index for final demand goods fell 1.8% in July. The July decrease can be traced to a 9.0% drop in prices for final demand energy. The indexes for final demand goods less foods and energy and for final demand foods advanced 0.2% and 1.0%, respectively.
The index for final demand services rose 0.1% in July, the third consecutive increase. Leading the July advance, margins for final demand trade services rose 0.3%. Prices for final demand services less trade, transportation, and warehousing fell 0.1% while prices for final demand transportation and warehousing services moved up 0.4%.
Read the BLS release.
