US Producer Price Index for Final Demand Increases 1.3% in September

On Thursday, the US Bureau of Labor Statistics (BLS) reported that the Producer Price Index (PPI) for final demand rose 1.3% in September on a seasonally adjusted basis. This followed a 0.5% increase in August and marks the largest since a 1.7% rise in March 2022.

On an unadjusted basis, the index was up 6.3% over the 12 months ending in September, the largest annual increase since a 6.4% rise in December 2022.

The monthly change in September was driven by a 2.6% increase in prices for final demand goods, while prices for final demand services rose 0.8%.

The index for final demand less foods, energy, and trade services rose 0.5% in September after a 0.3% increase in August. Year-over-year, the measure was up 5.0%.