The Producer Price Index for final demand increased 1.3% in September, seasonally adjusted, according to the U.S. Bureau of Labor Statistics report. Final demand prices edged up 0.5% in August and 0.2% in July. The September increase is the largest advance since rising 1.7% in March 2022. On an unadjusted basis, the index for final demand rose 6.4% for the 12 months ended in September 2026, the largest 12-month increase since moving up 6.4% in December 2022.
The September increase in final demand prices can be attributed to a 2.6% rise in the index for final demand goods and a 0.8% rise in the index for final demand services.
Prices for final demand less foods, energy, and trade services increased 0.5% in September, after increasing 0.3% in August. For the 12 months ending in September, prices for final demand less food, energy, and trade services increased 5.0%.
Prices for final demand goods rose 2.6% in September, the largest increase since data were first calculated in December 2009. Over 80% of the broad-based rise in September is attributable to the index for final demand energy, which jumped 10.8%. The index for final demand goods less foods and energy moved up 0.3%, while the index for final demand foods moved up 1.2%.
The index for final demand services rose 0.8% in September, the largest increase since advancing 0.8% in April. Nearly half of the broad-based September increase can be attributed to a 1.4% rise in margins for final demand trade services. The indexes for final demand transportation and warehousing services and for final demand services less trade, transportation, and warehousing also advanced, 3.4% and 0.3%, respectively.
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