Producer prices rose 0.5% in June, seasonally adjusted, after rising 0.4% in May, according to the U.S. Bureau of Labor Statistics. The majority of June’s increase was attributable to an increase in prices for final demand services. Producer prices have increased 0.3% over the last 12 months.
Prices for final demand services increased for the third consecutive month, rising 0.4% in June. Much of the rise was due to an increase in the index for services related to securities brokerage and dealing, which rose 7.7%. In contrast, margins for apparel, footwear, and accessories retailing declined 2.6%.
The index for final demand goods rose 0.8% in June, the largest increase since May 2015. Three quarters of the increase was attributable to final demand energy, which rose 4.1% amid a 9.9% increase in gasoline prices. Prices for final demand foods also increased, rising 0.9%.
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