By Tom Burnett CFA
On August 11, 2022, the Bureau of Labor Statistics released Producer Price Index information for the month of July. The PPI fell by 0.5% from the previous month, following an advance of 1.0% in June. For the 12 months ending in July, the PPI rose by 9.8%. This 12-month increase was the lowest of any month so far in 2022 and the 12-month figure ending in June was 11.3%. The July decline was led by a 1.8% decrease in the prices for goods, while the Index for services rose by 0.1%.
Prices for the Core Index, excluding food and energy, moved higher by 0.2% in July, following a rise of 0.3% in June. For the 12 months ending in July, the Core Index rose by 5.8%, lower than the 12-months rate of 6.4% in June. The 5.8% increase was the lowest 12-month increase for any month in 2022.
The next PPI report will be issued on September 14, 2022.
Tom Burnett CFA is Director of Research