The Producer Price Index for final demand edged up 0.4% in January, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Final demand prices rose 0.5% in December and 0.2% in November. On an unadjusted basis, the index for final demand increased 3.5% for the 12 months ended January 2025.
The index for final demand less foods, energy, and trade services rose 0.3% in January after moving up 0.4% in December. For the 12 months ended in January, prices for final demand less foods, energy, and trade services advanced 3.4%.
The index for final demand services edged up 0.3% in January, the sixth consecutive increase. Three-fourths of the broad-based advance in January is attributable to prices for final demand services less trade, transportation, and warehousing, which rose 0.4%. The indexes for final demand transportation and warehousing services and for final demand trade services also increased, 0.6% and 0.1%, respectively. Over one-third of the January rise in the index for final demand services can be traced to prices for traveler accommodation services, which advanced 5.7%
The index for final demand goods moved up 0.6% in January, the fourth consecutive rise. Over half of the broad-based January advance can be traced to a 1.7-percent increase in prices for final demand energy. The indexes for final demand foods and for final demand goods less foods and energy also rose, 1.1% and 0.1%, respectively. In January, a 10.4-percent increase in the index for diesel fuel was a major factor in the advance in prices for final demand goods. The indexes for chicken eggs, beef and veal, gas fuels, jet fuel, and communication and related equipment also moved higher.
Read the BLS release.
