The Producer Price Index for final demand fell 0.5% in April, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Final demand prices were unchanged in March and increased 0.2% in February. On an unadjusted basis, the index for final demand rose 2.4% for the 12 months ended in April.
Prices for final demand less foods, energy, and trade services edged down 0.1% in April, the first decline since falling 0.8% in April 2020. For the 12 months ended April 2025, the index for final demand less foods, energy, and trade services advanced 2.9%.
Prices for final demand goods were unchanged in April following a 0.9-percent decrease in March. In April, the index for final demand goods less foods and energy increased 0.4%. In contrast, prices for final demand foods and for final demand energy declined 1.0% and 0.4%, respectively. Among final demand goods in April, the index for general purpose machinery and equipment advanced 1.1%. Prices for residential electric power, fresh and dry vegetables, non-electronic cigarettes, and utility natural gas also moved up. Conversely, the index for chicken eggs dropped 39.4%. Prices for gasoline, gas fuels, diesel fuel, and primary basic organic chemicals also fell.
Prices for final demand services moved down 0.7% in April, the largest decline since the index began in December 2009. Over two-thirds of the broad-based decrease can be traced to margins for final demand trade services, which dropped 1.6%. Over 40% of the April decline in the index for final demand services is attributable to margins for machinery and vehicle wholesaling, which dropped 6.1%. The indexes for portfolio management, food and alcohol wholesaling, system software publishing, traveler accommodation services, and airline passenger services also fell.
Read the BLS release.
