Producer prices increased 0.1 percent in January, seasonally adjusted, after falling 0.2 percent in December, according to the U.S. Bureau of Labor Statistics. The increase was attributable to an increase in prices for final demand services.
Prices for final demand services increased 0.5 percent, the third consecutive month of increases. Nearly half of the increase could be traced to a 4.0 percent advance in margins for machinery and equipment wholesaling. In contrast, margins for food and alcohol retailing fell by 4.1 percent.
The index for final demand goods fell 0.7 percent. The decrease could be traced to a 5.0 percent fall in prices for final demand energy goods, which included a sharp decline in prices for gasoline. Prices for final demand goods less foods and energy were unchanged however.
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