PPI July 2025:

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Wholesale prices increased by 0.9 % in July, more than expected

The report of the Labor Statistics Office on Thursday showed that wholesale prices rose much more than expected in July, providing a possible mark that inflation is still a threat to the American economy, according to the work statistics office on Thursday.

the Product price indexThat measure the prices of the final required goods and services, jumped 0.9 % a month, compared to the discreplination of Dow Jones to achieve a gain of 0.2 %. It was the largest monthly increase since June 2022.

Except for food and energy prices, Core PPI increased by 0.9 % against expectations by 0.3 %. With the exception of food, energy and trade services, the index increased by 0.6 %, which is the largest gain since March 2022.

On an annual basis, the main PPI has increased by 3.3 %, which is the 12 -month -long step since February and over the target of inflation by 2 % in the federal reserve.

Inforcement in services has saved a lot of batch higher, and a rise of 1.1 % in July for the largest gain since March 2022. Commercial service margins have increased by 2 %, and they are coming amid continuous developments in the president Donald TrumpCustoms tariff applications.

In addition, 30 % of the increase in services came from an increase of 3.8 % in machines and wandering the equipment. Also, the portfolio management fees increased by 5.4 % and the price of 1 % airline passenger services increased.

The future contracts for the stock market fell after the release, while the treasury revenue increased the shorter period.

Although the producers’ price index followed less than the BLS consumer index, it provides important information on pipeline prices. Together, the measures are feeding on the Personal Consumption Expenditure Index of the Ministry of Commerce, which is the basic predicament scale at the Federal Reserve, which will be updated later this month.

“The fact that the producers’ price index was stronger than that the consumer price index was relatively soft that companies deal with a lot of customs tariff costs instead of transferring them to the consumer,” said Clarkin, Calbay Investments, Calbay Investments, said: “Companies may soon begin to reflect the training course and start passing these costs for consumers.”

with CPI is coming about expectations Earlier this week, the market pricing was the apparent certainty that the Federal Reserve would reduce the main interest rate when it meets in September. After the release, the chances of reducing the market decreased to reduce September, but only, according to the CME’s Group Fedwatch tool. Traders reduced the possibility of three discounts this year.

“The great rise in the price of the price of the producers this morning shows that inflation is wandering in the economy, even if consumers do not feel after that,” wrote Chris Zakarili, chief investment employee in North Light Asset. “Given the goodness of the consumer price index numbers on Tuesday, this is an undesirable surprise for the ups and the upscale aspect of the optimism of the” content “price reduction next month.

Reports come amid an escalation questions about the accuracy of BLS data.

Trump earlier this month launched the former BLS Commissioner and said he intends to nominate the expert of the Heritage Foundation Ej Antoni as the next president of the office. Antoni was a critic of the BLS, and the idea of suspending the non -cultivated monthly salary report was presented until the accuracy of the data is better secure.

BLS stumbled due to the budget discounts and the layoffs of the workers that forced it to change the way in which the data is collected. The product price index in July was the first since the office canceled about 350 category of the comprehensive number of input costs.

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