Wholesale inflation accelerated for the second month in a row, mirroring a similar trend in the Consumer Price Index report, the Bureau of Labor Statistics reported Thursday. The Producer Price Index, a key measure of price changes at the wholesale level, rose to 1.6% from 1.3% for the 12 months ending in August. Stripping out the more volatile categories of food and energy, core PPI rose 2.2% on an annual basis in August, in line with economists’ expectations. The PPI is a closely watched inflation gauge, since it captures average price shifts upstream of the consumer. But this week’s inflation data is unlikely to push the Fed to raise interest rates at its meeting next week.

Source: CNN September 14, 2023 20:27 UTC