Updated: 27-Feb-26 09:27 ET

January PPI

Updated: 27-Feb-26 09:27 ET

Highlights

• The Producer Price Index for final demand increased 0.5% month-over-month (Briefing.com consensus: 0.3%) following a downwardly revised 0.4% increase (from 0.5%) in December.
• The Producer Price Index for final demand, excluding food and energy, surged 0.8% month-over-month (Briefing.com consensus: 0.3%) following a 0.6% increase in December.
• The Producer Price Index for final demand was up 2.9% year-over-year, versus 3.0% in December, but the Producer Price Index for final demand, excluding food and energy, was up 3.6%, versus 3.3% in December.

Key Factors

• The index for final demand goods decreased 0.3% following a 0.1% decline in December.
• The index for final demand services jumped 0.8%, driven largely by a 2.5% increase in margins for final demand trade services.
• The index for processed goods for intermediate demand was unchanged for the second straight month.
• The index for unprocessed goods for intermediate demand declined 0.5% following a 1.9% increase in December.

Big Picture

• The key takeaway from the report was rooted in the worrying core-PPI component, as that will foment concerns about pass-through to consumer prices that will likely keep the Fed leery about cutting rates soon.

Category	JAN	DEC	NOV	OCT	SEP
Final Demand	0.5%	0.4%	0.2%	0.1%	0.6%
Core (excluding ...)
Food and Energy	0.8%	0.6%	0.1%	0.3%	0.5%
Food, Energy, and Trade	0.3%	0.3%	0.3%	0.6%	0.2%
Final Demand Goods
Total		0.0%	0.8%	-0.4%	0.8%
Energy	-2.7%	-1.5%	3.2%	-2.2%	2.0%
Finished Goods	-0.8%	0.1%	0.9%	-0.4%	0.8%
Final Demand Services
Total	0.8%	0.7%	0.1%	0.2%	0.6%
Trade	2.5%	1.8%	-0.5%	-0.9%	1.6%
Intermediate Demand
Processed	0.0%	0.0%	0.5%	-0.1%	0.2%
Unprocessed	-0.5%	1.9%	1.2%	-1.3%	-0.5%
Services	0.3%	0.6%	0.2%	0.3%	0.3%