Updated: 15-Jan-20 09:17 ET
| December PPI |
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| Updated: 15-Jan-20 09:17 ET |
Highlights
- The Producer Price Index for final demand increased 0.1% (Briefing.com consensus +0.2%) and so did the Producer Price index for final demand, excluding food and energy (Briefing.com consensus +0.2%). Those changes left the yr/yr increases at 1.3% and 1.1%, respectively, versus 1.1% and 1.3% in November.
Key Factors
- The index for final demand goods rose 0.3%.
- Prices for final demand services were unchanged.
- The index for processed goods for intermediate demand increased 0.1%.
- The index for unprocessed goods for intermediate demand jumped 1.8%, with more than half of the increase stemming from prices for foodstuffs and feedstuffs.
Big Picture
- The key takeaway from the report is that it isn't going to convince the Federal Reserve that it needs to raise its policy rate soon.
| Category | DEC | NOV | OCT | SEP | AUG |
| Final Demand | 0.1% | 0.0% | 0.4% | -0.3% | 0.1% |
| Core (excluding ...) | |||||
| Food and Energy | 0.1% | -0.2% | 0.3% | -0.3% | 0.3% |
| Food, Energy, and Trade | 0.1% | 0.0% | 0.1% | 0.0% | 0.4% |
| Final Demand Goods | |||||
| Total | 0.3% | 0.3% | 0.7% | -0.4% | -0.5% |
| Energy | 1.5% | 0.6% | 2.8% | -2.5% | -2.5% |
| Finished Goods | 0.4% | 0.5% | 0.8% | -0.5% | -0.6% |
| Final Demand Services | |||||
| Total | 0.0% | -0.3% | 0.3% | -0.2% | 0.3% |
| Trade | -0.3% | -0.6% | 0.8% | -1.0% | 0.2% |
| Intermediate Demand | |||||
| Processed | 0.1% | 0.2% | 0.4% | -0.4% | -0.7% |
| Unprocessed | 1.8% | 3.9% | 1.0% | -1.4% | -1.0% |
| Services | 0.4% | -0.1% | -0.2% | 0.1% | 0.5% |