Producer Price Index for Final Demand Declines Month-Over-Month but Rises Year-Over-Year in October

The Bureau of Labor Statistics (BLS) reported on Wednesday (11-15-23) that the Producer Price Index (PPI) for final demand, seasonally adjusted, declined 0.5% in October, following an increase of 0.4% in September. The October decline is the largest decrease in final demand prices since the 1.2% drop in April 2020. On an unadjusted basis, the index for final demand advanced 1.3% for the twelve-month period ending in October.

In October, the index for final demand goods fell 1.4%. Prices for final demand services were unchanged.

The index for final demand less foods, energy, and trade services increased 0.1% in October—the fifth consecutive monthly advance. For the 12-month period ending in October, the index for final demand less foods, energy, and trade services rose 2.9%.