The Producer Price Index for final demand decreased 0.1% in February, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Final demand prices increased 0.3% in January and declined 0.3% in December 2022. On an unadjusted basis, the index for final demand rose 4.6% for the 12 months ended February.
In February, the decline in the final demand index was led by prices for final demand goods, which fell 0.2%. The index for final demand services edged down 0.1%.
Prices for final demand goods moved up 1.2% in January, the largest increase since rising 2.1% in June 2022. A 2.2% decline in prices for final demand foods was a major factor in the February decrease. Prices for final demand energy decreased 0.2%. Conversely, the index for final demand goods less foods and energy advanced 0.3%.
Prices for final demand services declined 0.1% in February, the same as in January. The February decrease can be attributable to prices for margins final demand services, which fell 0.8%. Prices for final demand transportation and warehousing services decreased 1.1%. In contrast, the index for final demand services less trade, transportation, and warehousing advanced 0.3%.
Read the BLS release.
