Please ensure Javascript is enabled for purposes of website accessibility
Wholesale Inflation in US Rises 2.2% in September, Biggest Year-Over-Year Gain Since April
gvw_ap_news
By Associated Press
Published 7 months ago on
October 11, 2023

Share

WASHINGTON — U.S. wholesale prices rose last month at the fastest pace since April, suggesting that inflationary pressures remain despite a year and a half of higher interest rates.

The Labor Department reported Wednesday that its producer price index — which measures inflation before it hits consumers — climbed 2.2% from a year earlier. That was up from a 2% uptick in August.

On a month-to-month basis, producer prices rose 0.5% from August to September, down from 0.7% from July to August.

Excluding volatile food and energy prices, so-called core inflation rose 2.7% in September from a year earlier and 0.3% from August. The Federal Reserve and many outside economists pay particular attention to core prices as a good signal of where inflation might be headed.

Wholesale prices have been rising more slowly than consumer prices, raising hopes that inflation may continue to ease as producer costs make their way to the consumer. Wednesday’s numbers show that wholesale inflation, driven by an uptick in the price of goods, came in higher last month than economists had expected.

Last year, inflation reached highs not seen in four decades, prompting the Fed to raise interest rates aggressively. The central bank has boosted its benchmark rate 11 times since March 2022. Those higher borrowing costs have helped cool inflation and slow a still-solid job market.

There are growing expectations that the Fed may decide to leave interest rates alone for the rest of the year. On Monday, two Fed officials suggested that the central bank may leave its key rate unchanged at its next meeting in three weeks, helping touch off a rally in bonds and stocks.

In the meantime, the economy has remained sturdier than expected. Optimism is rising that the Fed may pull off a ”soft landing” — raising rates just enough to tame inflation without tipping the economy into a deep recession.

On Thursday, the Labor Department will issue its closely watched consumer price index for September. Last month, the department reported that compared with 12 months earlier, core consumer prices in August rose at the smallest pace in nearly two years.

RELATED TOPICS:

DON'T MISS

Legislation Pandering to Tribal Casinos Is a Bad Bet for Fresno Cardroom Employees

DON'T MISS

About 1 in 4 US Adults Over 50 Say They Expect to Never Retire, an AARP Study Finds

DON'T MISS

Biden Signs a $95 Billion War Aid Measure With Assistance for Ukraine, Israel and Taiwan

DON'T MISS

Ancestry Website to Catalogue Names of Japanese Americans Incarcerated During World War II

DON'T MISS

First-Round Picks Could Be on the Trading Block on Day 1 of the NFL Draft

DON'T MISS

Trojans Rejoice! Reggie Bush Is Reinstated as 2005 Heisman Trophy Winner

DON'T MISS

Arizona Just Revived an 1864 Law Criminalizing Abortion. Here’s What’s Happening in Other States

DON'T MISS

Airlines Now Required to Give Automatic Cash Refunds for Canceled, Delayed Flights

DON'T MISS

Fresno County Appoints New Librarian. What’s Her Favorite Book Genre?

DON'T MISS

Shohei Ohtani Hits Second-Deck Home Run in Dodgers’ Road Win

UP NEXT

General Motors Reports Strong First-Quarter Profits as Prices Help Offset Small US Sales Dip

UP NEXT

Wall Street Rallies and Adds to Its Hot Start to the Week

UP NEXT

Man Sets Himself on Fire Outside Trump Hush Money Trial Court

UP NEXT

Real Estate Experts Talk Fresno’s Economic Future. Are Tough Times Ahead?

UP NEXT

Wired Wednesday: How High Will the Price of Gold & Silver Go?

UP NEXT

BTC Scammy Scams, Impact of Blockchain on Global Markets: Crypto The WonderDog Show

UP NEXT

Barbara Corcoran: 1% Interest Rate Drop Will Send Housing Prices ‘Through the Roof’

UP NEXT

Coalition: CA Lawmakers Need to Roll Back Proposed ‘Utility Tax’

UP NEXT

Wall Street’s Mixed Trading Day

UP NEXT

Fresno Coin Gallery Owner Reveals Why Gold & Silver Are Hot Investments

Ancestry Website to Catalogue Names of Japanese Americans Incarcerated During World War II

2 hours ago

First-Round Picks Could Be on the Trading Block on Day 1 of the NFL Draft

2 hours ago

Trojans Rejoice! Reggie Bush Is Reinstated as 2005 Heisman Trophy Winner

2 hours ago

Arizona Just Revived an 1864 Law Criminalizing Abortion. Here’s What’s Happening in Other States

3 hours ago

Airlines Now Required to Give Automatic Cash Refunds for Canceled, Delayed Flights

3 hours ago

Fresno County Appoints New Librarian. What’s Her Favorite Book Genre?

3 hours ago

Shohei Ohtani Hits Second-Deck Home Run in Dodgers’ Road Win

4 hours ago

Logan Webb Extends Scoreless Streak to 19 Innings as Giants Dominate Mets

4 hours ago

Golf Has Two Dominant Forces in Scheffler & Korda. It Didn’t Happen Overnight.

6 hours ago

Tent Compound Rises in Southern Gaza as Israel Prepares for Rafah Offensive

19 hours ago

Legislation Pandering to Tribal Casinos Is a Bad Bet for Fresno Cardroom Employees

More than 600 Fresno area residents risk losing their well-paying jobs because elected officials are more interested in pandering to tribal ...

28 mins ago

28 mins ago

Legislation Pandering to Tribal Casinos Is a Bad Bet for Fresno Cardroom Employees

52 mins ago

About 1 in 4 US Adults Over 50 Say They Expect to Never Retire, an AARP Study Finds

1 hour ago

Biden Signs a $95 Billion War Aid Measure With Assistance for Ukraine, Israel and Taiwan

2 hours ago

Ancestry Website to Catalogue Names of Japanese Americans Incarcerated During World War II

2 hours ago

First-Round Picks Could Be on the Trading Block on Day 1 of the NFL Draft

2 hours ago

Trojans Rejoice! Reggie Bush Is Reinstated as 2005 Heisman Trophy Winner

3 hours ago

Arizona Just Revived an 1864 Law Criminalizing Abortion. Here’s What’s Happening in Other States

3 hours ago

Airlines Now Required to Give Automatic Cash Refunds for Canceled, Delayed Flights

MENU

CONNECT WITH US

Search

Send this to a friend