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Saturday, November 17, 2018 8:40:03 AM EST




PPI
Briefing.com Updated 09-Nov-18 09:26AM ET

The Producer Price Index for final demand jumped 0.6% in October (Briefing.com consensus +0.2%) while the index for final demand, less food and energy, rose 0.5% (Briefing.com consensus +0.2%).

Those increases left the index for final demand up 2.9% year-over-year, versus 2.6% in September, and the index for final demand, less food and energy, up 2.6% year-over-year, versus 2.5% in September.

The index for final demand services increased 0.7%, the largest increase since January 2016, and accounted for over 60% of the rise in final demand prices.

The index for final demand goods increased 0.6%. Most of that gain stemmed from a 2.7% increase in the index for final demand energy, which was led by a 7.6% jump in the gasoline index.

The index for processed goods for intermediate demand increased 0.8%.

The index for unprocessed goods for intermediate demand was up 3.6%, which was its largest rise since January 2017.

The key takeaway from the report is that it will stoke concerns about pass-through inflation to the consumer, which have already been stoked by numerous companies during the third quarter earnings-reporting period talking about higher input costs and increasing prices.
 
OCTSEPAUGJULJUN
Final Demand0.6%0.2%-0.1%0.0%0.3%
Core (excluding ...)
Food and Energy0.5%0.2%-0.1%0.1%0.3%
Food, Energy, and Trade0.2%0.4%0.1%0.3%0.3%
Final Demand Goods
Total0.6%-0.1%0.0%0.1%0.1%
Energy2.7%-0.8%0.4%-0.5%0.8%
Finished Goods0.7%-0.1%0.0%0.2%0.0%
Final Demand Services
Total0.7%0.3%-0.1%-0.1%0.4%
Trade1.6%0.1%-0.9%-0.8%0.7%
Intermediate Demand
Processed0.8%0.0%0.0%0.0%0.7%
Unprocessed3.6%1.7%-5.8%2.7%-1.0%
Services0.4%0.5%0.1%0.2%0.1%