Updated: 11-Oct-24 09:22 ET
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Updated: 11-Oct-24 09:22 ET |
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Highlights
- The Producer Price Index for final demand was unchanged month-over-month in September (Briefing.com consensus 0.1%). The Producer Price Index for final demand, excluding food and energy, was up 0.2% month-over-month (Briefing.com consensus 0.2%).
- The Producer Price Index for final demand rose 1.8% year-over-year, a smidgen below the upwardly revised 1.9% increase (from 1.7%) seen in August, but above the 1.6% increase expected for September. The Producer Price Index for final demand, excluding food and energy, increased 2.8% year-over-year. That was above the upwardly revised 2.6% (from 2.4%) for August and the 2.7% increase expected for September.
Key Factors
- The index for final demand goods decreased 0.2% following no change in August.
- The index for final demand services rose 0.2% following a 0.4% increase in August.
- The index for processed goods for intermediate demand fell 0.8%, as prices for processed energy goods dropped 4.7%.
- The index for unprocessed goods for intermediate demand declined 3.2%. That large decrease was attributable to a 12.6% drop in prices for unprocessed energy materials.
Big Picture
- The key takeaway from the report is that producers are still tangling with elevated prices, excluding food and energy, which means the Fed is still going to have to tangle with inflation data that will make it harder at this stage to justify aggressive rate cuts.
Category |
SEP |
AUG |
JUL |
JUN |
MAY |
Final Demand |
0.0% |
0.2% |
0.0% |
0.3% |
0.0% |
Core (excluding ...) |
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|
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|
|
Food and Energy |
0.2% |
0.3% |
-0.1% |
0.5% |
0.3% |
Food, Energy, and Trade |
0.1% |
0.2% |
0.4% |
0.1% |
0.2% |
Final Demand Goods |
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|
|
|
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Total |
-0.2% |
0.0% |
0.6% |
-0.3% |
-0.8% |
Energy |
-2.7% |
-1.0% |
1.7% |
-2.0% |
-4.6% |
Finished Goods |
-0.1% |
0.2% |
0.5% |
-0.3% |
-0.9% |
Final Demand Services |
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|
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Total |
0.2% |
0.4% |
-0.2% |
0.6% |
0.4% |
Trade |
0.2% |
0.7% |
-1.8% |
1.9% |
0.8% |
Intermediate Demand |
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Processed |
-0.8% |
-0.2% |
0.6% |
-0.1% |
-1.4% |
Unprocessed |
-3.2% |
-3.1% |
2.1% |
0.5% |
0.0% |
Services |
0.2% |
-0.1% |
0.3% |
0.4% |
0.3% |