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Producer Price Index rose 0.5% in April 2022, ex Fd & Engy up 0.6%
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The Producer Price Index for final demand increased 0.5 percent in April, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This rise followed advances of 1.6 percent in March and 1.1 percent in February. On an unadjusted basis, final demand prices moved up 11.0 percent for the 12 months ended in April.
In April, the rise in the index for final demand is primarily attributable to a 1.3-percent advance in prices for final demand goods. The index for final demand construction increased 4.0 percent, while prices for final demand services were unchanged.
Prices for final demand less foods, energy, and trade services moved up 0.6 percent in April after increasing 0.9 percent in March. For the 12 months ended in April, the index for final demand less foods, energy, and trade services rose 6.9 percent.
Final Demand
Final demand goods: The index for final demand goods moved up 1.3 percent in April, the fourth consecutive rise. More than half of the broad-based increase in April can be traced to a 1.0-percent advance in prices for final demand goods less foods and energy. The indexes for final demand energy and for final demand foods also moved higher, 1.7 percent and 1.5 percent, respectively.
Product detail: Among prices for final demand goods in April, the index for motor vehicles and equipment advanced 0.8 percent. Prices for diesel fuel, chicken eggs, jet fuel, electric power, and residential natural gas also increased. Conversely, the index for gasoline fell 3.2 percent. Prices for fresh and dry vegetables and for carbon steel scrap also decreased.
Final demand services: The index for final demand services was unchanged in April after increasing 1.2 percent in March. In April, prices for final demand transportation and warehousing services rose 3.6 percent. In contrast, the indexes for final demand trade services and for final demand services less trade, transportation, and warehousing declined 0.5 percent and 0.1 percent, respectively. (Trade indexes measure changes in margins received by wholesalers and retailers.)
Product detail: Within the index for final demand services in April, prices for truck transportation of freight rose 4.4 percent. The indexes for automotive fuels and lubricants retailing, transportation of passengers (partial), hospital outpatient care, and loan services (partial) also increased. Conversely, margins for health, beauty, and optical goods retailing declined 1.3 percent. The indexes for portfolio management, guestroom rental, hospital inpatient care, and furniture retailing also moved lower.
Posted: May 12, 2022 Thursday 08:30 AM