Washington DC [US], October 15 (ANI): US wholesale inflation rose to 6.3 per cent in September, its highest annual level since December 2022, driven by a sharp increase in energy and gasoline prices, according to data released by the US Bureau of Labor Statistics (BLS) on Thursday.
The Producer Price Index (PPI), a key indicator of US wholesale inflation that tracks changes in prices received by domestic producers for goods and services, increased 1.3 per cent in September from August, marking its biggest monthly rise since March 2022. On an annual basis, producer prices rose 6.3 per cent, the highest increase since December 2022.
Highlighting the annual increase, the BLS stated, "On an unadjusted basis, the index for final demand climbed 6.3 percent for the 12 months ended in September, the largest 12-month increase since moving up 6.4 percent in December 2022."
The monthly increase accelerated from 0.5 per cent in August and 0.2 per cent in July, indicating a pickup in price pressures across the US economy.
Energy prices were the biggest driver of the increase. Prices for final demand goods rose 2.6 per cent in September, the largest monthly increase since the series began in December 2009.
The report noted, "Over 80 percent of the broad-based rise in September is attributable to the index for final demand energy, which jumped 10.8 percent."
Gasoline prices alone surged 20.3 per cent, accounting for half of the monthly increase in goods prices. Prices of diesel fuel, jet fuel, residential electricity and crude petroleum also increased.
Food prices rose 1.2 per cent, while prices of goods excluding food and energy increased 0.3 per cent.
Inflationary pressures were also visible in services, where prices increased 0.8 per cent in September.
The BLS stated, "Nearly half of the broad-based September increase can be attributed to a 1.4-per cent rise in margins for final demand trade services."
Transportation and warehousing services prices increased 3.4 per cent during the month.
Meanwhile, the measure of producer inflation excluding food, energy and trade services rose 0.5 per cent in September, compared with 0.3 per cent in August. On an annual basis, the index increased 5.0 per cent.
The data indicate that price pressures extended beyond energy, with both goods and services recording increases during September. (ANI)
US wholesale inflation hits highest level since December 2022, rises 6.3% in September
