Producer Price Index Increases 0.3% in December – Up Year-Over-Year 1.4%

The U.S. Bureau of Labor Statistics (BLS) is reporting (1/15/21), that the Producer Price Index (PPI) for final demand increased 0.3% in December, seasonally adjusted. This increase followed a 0.1% increase in November and a 0.3% in increase in November. On an unadjusted basis, the final demand index moved up 0.8 in 2020, after increasing 1.4% in 2019. The December increase can be traced to a 1.1% increase in the price for final demand goods. On the other hand, the index for final demand service declined 0.1% in December. Prices for final demand less foods, energy, and trade services rose 0.4% in December, the eighth consecutive advance. In 2020, the index for final demand less foods, energy, and trade services moved up 1.1%, following a 1.5% increase in 2019.