Producer prices for final demand (blue) rose 0.1% in July, while upstream raw commodity prices (red) rose 0.7%, close to their highest monthly increases in the past two years:
(Click on image to enlarge)
In the larger pre-pandemic scheme of things, the one month rise in commodity prices is not a matter of concern at this point.
On a YoY basis, final demand producer prices are up 2.2%, while raw commodity prices are up 1.5%:
(Click on image to enlarge)
Like all other prices except for imputed shelter costs, this is well within the Fed’s target range. We’ll see how this pans out for consumer prices tomorrow.
More By This Author:
Residential Building Construction And Spending Sound A Warning For Goods-producing EmploymentInitial Jobless Claims, Ex Hurricane Beryl Distortions, Remain Very Positive
Why The Leading Elements Of The Establishment Survey In The Jobs Report Still Forecast Expansion
Comments
Log in or sign up to join the conversation.