Producer Price Index (PPI)

[coolhand]

Table 2. Producer price index percent changes for selected commodity groupings by Final Demand - Intermediate Demand category, seasonally adjusted - 2022 M05 Results (http://stats.bls.gov/news.release/ppi.t02.htm)



The stuff PPI is made of.

I wonder where they shop? Fruits/veggies where I shop went up greatly in December.

[coolhand]

Dr_Dubious wrote:
I wonder where they shop? Fruits/veggies where I shop went up greatly in December.

Must be a national average. Of course this time of year many fruits and vegetables are imported.

Is that a strawberry you're sporting as an avatar? Imported or domestic? ;)

I was hoping that was a ladybug. At McDonalds (the last time I took my nephews around Christmas) tomatoes had to be requested due to the cost. I guess I never really thought about it until I saw they reported veggies went up .2 in December. It just kind ofclicked. I remember a couple saying "Even the green ones (peppers) have nearly doubled now". I will start to watch closer now.

[tsptalk]

Producer prices climb 6.6% in May on annual basis, largest 12-month increase on record


Producer prices as of May rose 6.6% over the past 12 months, the fastest increase on record.

At the same time, retail sales declined 1.3%, worse than the 0.6% estimate.

Month over month, the producer price index increased 0.8%, also faster than the 0.5% estimate.
https://www.cnbc.com/2021/06/15/retail-sales-producer-price-index-may-2021.html

[tsptalk]

Wholesale prices jump 1% in July, matching June increase


Inflation at the wholesale level jumped a higher-than-expected 1% in July, dimming hopes for a slowdown in price increases.

The July gain in the producer price index, which measures price pressures before they reach consumers, matched the June increase with both months advancing by the highest amount since a 1.2% rise in January, the Labor Department reported Thursday.
https://www.cnbc.com/2021/08/12/wholesale-prices-jump-1percent-in-july-matching-june-increase.html

[tsptalk]

Wholesale prices rise 8.6% year over year in October, tied for highest ever


KEY POINTS

The Labor Department’s producer price index, which measures wholesale prices, rose 0.6% in October, translating into an 8.6% increase year over year.

Surging prices for gasoline and autos helped push the increase which was tilted far more to goods than services.

The reading is one of two important inflation measures coming this week, with the consumer price index on tap for Wednesday.

https://www.cnbc.com/2021/11/09/wholesale-prices-rise-8point6percent-year-over-year-in-october-tied-for-highest-ever.html

[tsptalk]

Wholesale prices measure rises 9.6% in November from a year ago, the fastest pace on record


KEY POINTS

Wholesale prices rose 9.6% from a year ago, the highest level going back to November 2010.

The pace was even faster than the 9.2% estimate.

The core producer price index increased at a 6.9% pace, a bit slower than estimates but still the fastest ever in records dating to August 2014.
https://www.cnbc.com/2021/12/14/wholesale-prices-measure-rises-9point6percent-in-november-from-a-year-ago-the-fastest-pace-on-record.html

[tsptalk]

Wholesale prices up 0.2% in December, less than expected but still a new full-year record


The producer price index, a measure of wholesale prices for goods and services, increased 0.2% in December, below the 0.4% estimate.

For all of 2021, the 9.7% gain was the biggest on record in data going back to 2010.

Weekly jobless claims totaled 230,000, well above the estimate, though the four-week average of filings hit its lowest since 1973.


https://www.cnbc.com/2022/01/13/wholesale-prices-up-0point2percent-in-december-less-than-expected-but-still-a-new-12-month-record.html

[tsptalk]

Wholesale prices rise 1% in January, up near-record 9.7% over the past year


The producer price index, which measures wholesale prices, rose 1% in January and 9.7% for the 12-month period, the latter just off the record high.

Core PPI rose 0.9%. Both increases were at least double the Wall Street estimate.

Manufacturing in the New York region increased modestly in February but was below expectations. The prices received index soared to a record high.
https://www.cnbc.com/2022/02/15/producer-price-index-january-2022-.html



08:30 ET: PPI

For: Jan| Actual: 1.0% | B.com Forecast: 0.5% | B.com Cons: 0.5% | Prior: 0.4% | Revised From: 0.2%

https://www.briefing.com/calendars/economic/display-article?ArticleId=ER20220215083000PPI&FileName=ppi.htm

[tsptalk]

Producer prices rose 11.2% from a year ago in March, the biggest gain on record


The producer price index, which measures prices paid by wholesalers, rose 1.4% in March and 11.2% from a year ago, both records for data going back to 2010.

Prices for final demand goods led with a 2.3% monthly rise, while services prices gained 0.9%.

Wednesday’s release comes the day after the BLS reported that the consumer price index for March surged 8.5% over the past year.

https://www.cnbc.com/2022/04/13/producer-price-index-march-2022-.html

[tsptalk]

Producer Price Gains Edged Downward in April but Remain Elevated
Key reading of producer-level inflation rose at an 11% annual rate, the fifth straight month of double-digit increases


Producer prices rose 11% on a 12-month basis in April, its fifth consecutive double-digit gain, easing from an upwardly revised 11.5% increase the prior month. The March gain was the highest since records began in 2010.

https://www.wsj.com/articles/producer-price-gains-edged-downward-in-april-but-remain-elevated-11652360313?st=kdqob70pfgqvyu5&reflink=desktopwebshare_permalink

[tsptalk]

Wholesale prices rose 10.8% in May, near a record annual pace


The producer price index rose 0.8% for the month and 10.8% over the past year.

The monthly gain was in line with estimates and the annual gain was slightly off the record 11.5% hit earlier this year.

The data is significant in that prices at the wholesale level feed through to consumer prices.


https://www.cnbc.com/2022/06/14/wholesale-prices-rose-10point8percent-in-may-near-a-record-annual-pace.html

[rangerray]

Shrinkflation is in full swing too.


Scott Harrison
Senatobia, MS

[nasa1974]

Shrinkflation is in full swing too.


Scott Harrison
Senatobia, MS

Unfortunately that has been happing for years. A normal bag of chips used to be 16oz. and over the years a normal bag of chips is now around 10 something. Of course now you can purchase different size bags; normal, family and party.

[jonfresno]

What stuck in my craw - when they shrank orange juice cartons from 64oz to 59. Guess that was a while ago. But on the plus side - they sure have found ways to cheaply super-size the sodas... Those go well with the party size bags of chips. From personal experience I speak...
Unfortunately that has been happing for years. A normal bag of chips used to be 16oz. and over the years a normal bag of chips is now around 10 something. Of course now you can purchase different size bags; normal, family and party.

[James48843]

My orange juice I just bought is now 54 ounces. The carton is even smaller.


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[tsptalk]

Wholesale prices shoot up near-record 11.3% in June on surge in energy costs


The producer price index rose 11.3% from a year ago in June, near the record 11.6% posted in March.

Excluding food, energy and trade, core PPI was up 6.4%. The monthly gain of 0.3% was below expectations.

Jobless claims jumped to 244,000 last week, the highest level since November 2021.
https://www.cnbc.com/2022/07/14/producer-price-index-june-2022-gain-11point3percent-on-surge-in-energy-costs.html

[Boghie]

So, all you need is a 14% to 17% gain on your assets for this year to be a normal year.;damnit

[tsptalk]

Wholesale inflation fell 0.5% in July, in another sign that price increases are slowing


The producer price index, a gauge of final-demand wholesale prices, decreased 0.5% in July due to a slide in energy prices. The year-over-year gain was 9.8%.

The annual increased was the lowest since October 2021 and the monthly move was the first decline since April 2020.

Jobless claims increased to 262,000 last week, just below the estimate.
https://www.cnbc.com/2022/08/11/producer-price-index-july-2022-.html

[tsptalk]

Wholesale prices fell 0.1% in August amid inflation fears


The producer price index, a gauge of prices received at the wholesale level, declined 0.1%, in line with expectations.

On a year-over-year basis, the index, which is a gauge of wholesale prices, increased 8.7%, the lowest increase since August 2021.

https://www.cnbc.com/2022/09/14/producer-price-index-august-2022.html

[tsptalk]

Wholesale prices rose 0.4% in September, more than expected as inflation persists


The producer price index increased 0.4% for September, compared with the Dow Jones estimate for a 0.2% gain.

Excluding food, energy and trade services, the index increased 0.4% for the month and 5.6% from a year ago.
https://www.cnbc.com/2022/10/12/producer-price-index-september-2022.html

[tsptalk]

Wholesale prices rose 0.2% in October, less than expected, as inflation eases


The producer price index rose 0.2% in October, below the 0.4% estimate.

A significant contributor to the slowdown in wholesale inflation was a 0.1% decline in services, the first outright decline in that measure since November 2020.

On a year-over-year basis, PPI rose 8% compared to an 8.4% increase in September.

In other economic news, the Empire State Manufacturing Survey for November registered a reading of 4.5%, much better than the estimate for a -6% reading.


https://www.cnbc.com/2022/11/15/wholesale-prices-rose-0point2percent-in-october-less-than-expected-as-inflation-eases.html

[James48843]

This is good for the longer term.

Inflation is cooling: last 4 months: CPI: 2.8%, Core CPI: 5.3%, PPI: 0.06%, Core PPI: 2.5%

The title line are the last 4 months (October over June) AT AN ANNUALIZED RATE.

I know I know, you won't find this in the media anywhere. They are fundamentally incapable of reporting anything besides the one month change and the twelve month change. They are fundamentally incapable of understanding that maybe the first several months of a 12 month period are ancient history. And yes, they are fundamentally incapable of calculating inflation rates from the data.

CPI https://data.bls.gov/timeseries/CUSR0000SA0
Core CPI Bureau of Labor Statistics Data (http://data.bls.gov/timeseries/CUSR0000SA0L1E)
PPI Bureau of Labor Statistics Data (http://data.bls.gov/timeseries/WPSFD4)
Core PPI Bureau of Labor Statistics Data (http://data.bls.gov/timeseries/WPSFD49116)

The Core CPI is the CPI less food and energy
The Core PPI is the PPI less food, energy, and trade services
CPI = Consumer Price Index,
PPI = Producer Price Index aka wholesale prices

I think the shock of higher fuel prices is working its way through the system and we will be fine.

Sent from my iPhone using TSP Talk Forums (http://r.tapatalk.com/byo?rid=74921)

[weatherweenie]

... we will be fine.

Sent from my iPhone using TSP Talk Forums (http://r.tapatalk.com/byo?rid=74921)
Oddly, some are disappointed with the fact that we will be fine.

[tsptalk]

Define "fine."

I know there are people who see everything through the lens of politics, which is what I assume you are getting at, but I think the other side of getting inflation under control is the strong potential for recession next year. Don't forget about the inverted yield curve which hasn't gotten any better, and even if it does improve, unless Powell has some magic up his sleeve, history suggests a recession is still a high probability in 2023.

https://www.tsptalk.com/images/mb/2022/111622a.gif


So "fine" may mean inflation is calming down, but there's more to it than that. Not that we can't have decent rallies in this environment but, at the risk of sounding like a perma-bear, I don't think things are fine just yet.

[tsptalk]

Wholesale prices rose 0.3% in November, more than expected, despite hopes that inflation is cooling


The producer price index, a measure of what companies get for their products in the pipeline, increased 0.3% for the month and 7.4% from a year ago.

A 38% surge in wholesale vegetable prices helped push the food index up by 3.3%, offsetting an identical 3.3% decline in energy costs.

Markets now will turn their attention to the more closely watched consumer price index, which is due out Tuesday morning.


https://www.cnbc.com/2022/12/09/wholesale-prices-rose-0point3percent-in-november-more-than-expected-despite-hopes-that-inflation-is-cooling.html

[tsptalk]

Wholesale prices fell 0.5% in December, much more than expected


The producer price index declined 0.5% for the month, compared to the Dow Jones estimate for a 0.1% decrease.

A sharp drop in energy prices helped bring the headline inflation reading down for the month. The PPI’s final demand energy index plunged 7.9%.

Retail sales fell 1.1% in December, slightly more than the 1% forecast.
https://www.cnbc.com/2023/01/18/wholesale-prices-fell-0point5percent-in-december-much-more-than-expected.html

[tsptalk]

Wholesale prices rose 0.7% in January, more than expected, fueling inflation increase


The producer price index rose 0.7% in January, higher than the 0.4% estimate.

Excluding food and energy, core PPI increased 0.5%, compared with expectations for a 0.3% increase.

In other economic data, jobless claims edged lower to 194,000, below the estimate for 200,000. Also, the Philadelphia Fed’s manufacturing index plunged to -24.3, well below the -7.8 estimate.


https://www.cnbc.com/2023/02/16/producer-price-index-january-2023-.html

[tsptalk]

Supplier Prices Fell in March, Adding to Signs of Moderating Inflation

Producer-price index declined 0.5% from prior month, largest drop since April 2020

https://www.tsptalk.com/images/mb/2023/tsp-041323a.gif

[tsptalk]

Wholesale prices rose just 0.2% in April, less than estimate as inflation pressures ease


The producer price index, a measure of prices for final demand goods and services, increased 0.2%, against the Dow Jones estimate for 0.3%. Excluding food and energy, core PPI also rose 0.2%, in line with expectations.


https://www.cnbc.com/2023/05/11/wholesale-prices-rose-just-0point2percent-in-april-less-than-estimate-as-inflation-pressures-ease.html

[tsptalk]

Producer prices fell 0.3% in May, more than expected


Wholesale prices fell even more than expected in May, providing another sign that inflation pressures are beginning to ease in the U.S. economy, the Labor Department reported Wednesday.

Excluding food and energy, PPI rose 0.2%, in line with the estimate.


https://www.cnbc.com/2023/06/13/stock-market-today-live-updates.html

[tsptalk]

More good news on the inflation front.


June wholesale prices rise less than expected in another encouraging inflation report


The PPI for final demand rose 0.1%. Economists surveyed by Dow Jones were expecting an increase of 0.2%. The PPI climbed 0.1% when excluding food, energy and trade services, which was in line with expectations.

https://www.cnbc.com/2023/07/13/ppi-june-2023-wholesale-prices-rise-less-than-expected.html

https://www.tsptalk.com/images/mb/2023/tsp-071323b.gif

[tsptalk]

Wholesale prices rose 0.3% in July, higher than expected


The producer price index rose 0.3% for the month, slightly higher than the 0.2% estimate.

On a year-over-year basis, headline PPI was up just 0.8%. Prices excluding food, energy and trader moved up by 2.7%.


https://www.cnbc.com/2023/08/11/wholesale-prices-rose-0point3percent-in-july-higher-than-expected.html

[tsptalk]

August wholesale inflation rises 0.7%, hotter than expected


Inflation at the wholesale level rose more than expected in August, countering recent data showing that price increases have tempered lately.

The producer price index, a measure of what producers get for their goods and services, increased a seasonally adjusted 0.7% in August and 1.6% on a year-over-year basis. That monthly gain was above the Dow Jones estimate for a 0.4% increase.

However, excluding food and energy, core PPI increased 0.2%, in line with the estimate.


https://www.cnbc.com/2023/09/14/ppi-inflation-report-august-2023-.html

[tsptalk]

Wholesale inflation rose 0.5% in September, more than expected


The producer price index increased 0.5% for September, against the Dow Jones estimate for a 0.3% rise.

Excluding food and energy, core PPI was up 0.3%, versus the forecast for 0.2%.

Inflation pressures came primarily from final demand goods, which surged 0.9% on the month, while services increased 0.3%.


https://www.cnbc.com/2023/10/11/ppi-september2023-.html

[tsptalk]

Wholesale prices fell 0.5% in October for biggest monthly drop since April 2020


The producer price index declined 0.5% for the month, the biggest monthly decline since April 2020. Wall Street had been expecting a 0.1% increase.

The Commerce Department’s advance retail sales report for the month showed a decline of 0.1%. Wall Street had been looking for a decline of 0.2%.

The Empire State Manufacturing Survey, which gauges conditions in the New York area, posted an unexpected increase of 14 points to 9.1.


https://www.cnbc.com/2023/11/15/wholesale-prices-fell-0point5percent-in-october-for-biggest-monthly-drop-since-april-2020.html

[tsptalk]

Wholesale prices held flat in November, providing another encouraging inflation signal


The producer price index, which measures a broad range of prices on final demand items, was unchanged for the month, following a 0.4% decrease in October but less than the Dow Jones estimate for a 0.1% gain. On a year-over-year basis, headline PPI accelerated just 0.9%, after peaking above 11.5% in March 2022.


Wholesale prices held flat in November, providing another encouraging inflation signal (https://www.cnbc.com/2023/12/13/wholesale-prices-held-flat-in-november-providing-another-encouraging-inflation-signal.html?qsearchterm=ppi)

[tsptalk]

January wholesale prices rise more than expected, another sign of persistent inflation


The producer price index, a measure of prices received by producers of domestic goods and services, rose 0.3% for the month, the biggest move since August. Economists surveyed by Dow Jones had been looking for an increase of just 0.1%. PPI fell 0.2% in December.


January wholesale prices rise more than expected, another sign of persistent inflation (https://www.cnbc.com/2024/02/16/january-wholesale-prices-rise-0point3percent-more-than-expected.html)

[tsptalk]

Wholesale inflation rose 0.6% in February, much more than expected


The producer price index, which measures pipeline costs for raw, intermediate and finished goods, jumped 0.6% on the month, double the Dow Jones estimate.

On a year-over-year basis, the headline index increased 1.6%, the biggest move since September 2023.

Two-thirds of the rise in headline PPI came from a 1.2% surge in goods prices, the biggest increase since August 2023, thanks to a 4.4% jump in energy.

Retail sales increased 0.6%, less than expected, while weekly jobless claim filings nudged lower to 209,000.


Producer price index February 2024: Wholesale inflation rose 0.6% in February (https://www.cnbc.com/2024/03/14/producer-price-index-february-2024-wholesale-inflation-rose-0point6percent-in-february.html)

[tsptalk]

Wholesale prices rose 0.2% in March, less than expected


The producer price index, a measure of inflation at the wholesale level, increased 0.2% for the month, less than the 0.3% estimate from the Dow Jones consensus.

However, on a 12-month basis, the PPI rose 2.1%, the biggest gain since April 2023, indicating pipeline pressures that could keep inflation elevated.

initial filings for jobless benefits fell to 211,000, a decline of 11,000 from the previous week’s upwardly revised level and below the 217,000 estimate.


PPI inflation report March 2024: Wholesale prices rose 0.2% in March (https://www.cnbc.com/2024/04/11/ppi-inflation-report-march-2024-wholesale-prices-rose-0point2percent-in-march.html)