Latest news with #producer price index
Yahoo
2 days ago
- Business
- Yahoo
‘No doubt Americans are paying the tariffs': Rising wholesale inflation is a warning sign
The economic forecast is getting bleaker by the month. In July, wholesale inflation rose at the fastest monthly pace since June 2022. The producer price index jumped 0.9% from June to July – more than four times what economists expected. These are all signs that domestic producers, manufacturers, and business owners are beginning to feel the effect of Donald Trump's tariffs – and consumers may start feeling it soon too. 'There is no doubt Americans are paying the tariffs at this point,�� Solve the daily Crossword
Yahoo
4 days ago
- Business
- Yahoo
US wholesale prices see biggest surge in three years
US wholesale prices rose far more than expected in July, posting their biggest surge in three years, new data released Thursday showed. The producer price index jumped 0.9% from June, pushing the annual inflation rate to 3.3% — well above the 0.2% monthly rise economists had expected, with services being hardest hit. The report suggested that even though businesses have been absorbing most of the costs from US President Donald Trump's tariffs, they could pass the burden on to consumers in the coming months, 'with inflation likely to climb modestly in the second half of 2025,' one economist said. The new numbers are 'likely to unwind some of the optimism of a 'guaranteed' rate cut' by the US Federal Reserve next month, one investment executive told CNN. Trump has persistently pressured the central bank to cut rates. — Paige Bruton Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
5 days ago
- Business
- Forbes
Stocks Shudder As PPI Shows Higher Than Expected Wholesale Inflation
Wholesale prices increased by an unexpected 0.9% in July, the Bureau of Labor Statistics reported on Thursday, causing markets to shudder after reaching record highs on a much more optimistic inflation report from the consumer price index on Tuesday. Prices for wholesale goods and services increased in July, the Bureau of Labor Statistics said. Los Angeles Times via Getty Images The producer price index indicated wholesale prices rose 0.9% in July for an increase in 3.3% for the year, after remaining flat in June. The jump in final demand caught economists polled by Reuters by surprise, who expected it to rise a more modest 0.2%. Price increases for services drove the rise, the BLS said, with final demand rising 1.1%—its largest increase since March 2022. Prices for goods also increased, which the BLS attributed in large part to prices for food rising 1.4%. Both the S&P 500 and Nasdaq slipped after the news broke on Thursday morning, but largely recovered and remained flat by 10:40 a.m. This is a breaking story and will be updated.
