By Tom Burnett CFA
On November 15, 2022, the Bureau of Labor Statistics released the Producer Price Index (“PPI”) for the month of October. The PPI rose 0.2% in October, following an increase of 0.2% in September. The PPI was unchanged in the month of August. The largest monthly increase in 2022 was the 1.7% move in the month of March. Most of the October increase was the result of a rise in the prices of goods which rose 0.6%. In contrast, the index for services decreased by 0.1%.
The Core PPI, excluding food and energy, advanced 0.2% in October, following a rise of 0.3% in September. The largest monthly increase in the Core PPI was the 1.0% advance in March.
Looking at the 12-month figures, the PPI rose 8.0% in October, down from 8.4% in September. The October figure was the smallest 12-month increase of the year. The Core PPI rose 5.4% for the 12-month period, the smallest 12-month increase for the 2022 year.
The next PPI report is scheduled to be released on December 9, 2022.
Tom Burnett CFA is Director of Research.