Would you like to receive notifications on latest updates of the following headlines?

US Producer Price Data Shows Easing Inflation Pressure

POSTED ON July 13, 2024 •   BUSINESS & ECONOMY      BY Abiodun Saheed Omodara
People display merchandise for pedestrians around Times Square, in New York, U.S., December 25, 2023. l Credit: REUTERS

US producer prices rose slightly in June, more than expected due to an increase in the cost of services, but this did not change the anticipation of the Federal Reserve potentially reducing interest rates in September. 

The components of the producer-price report, particularly healthcare services, which are used to calculate key inflation measures for US monetary policy, were largely positive last month.

Combined with the milder readings in the consumer price report, economists predicted favorable readings in the personal consumption expenditures (PCE) inflation for June.

Chief economist Christopher Rupkey stated that there seems to be minimal inflation pressure affecting consumer prices at retail locations.

According to the Labor Department's Bureau of Labor Statistics, the producer price index for final demand increased by 0.2% in June, exceeding the forecasted 0.1% rise.

Over the 12 months leading up to June, the PPI saw a 2.6% increase, the largest year-on-year gain since March 2023.

The rise in the PPI was driven by a 0.6% increase in service prices, with trade services experiencing a 1.9% surge in margins.

However, transportation and warehousing service costs declined by 0.4%. Portfolio management fees rose by 1.0%, partially reversing a previous 0.8% decrease.

Airline fares went up by 1.1%, offsetting most of the 3.9% decrease in May, while hotel and motel room costs decreased by 0.2%.

The cost of medical services also showed mild changes, with a 0.4% drop in doctor services costs.

READ ALSO
Reinventing Nigeria’s Fiscal Framework: A Call for Unity and Responsibility
BY Abiodun Saheed Omodara July 8, 2025 0

President Bola Tinubu has emphasized his government's dedication to allocating sufficient resources...

READ ALSO
CBN Mandates Capital Restoration Plans for Banks: A Step Towards Regulatory Compliance
BY Abiodun Saheed Omodara July 8, 2025 0

The Central Bank of Nigeria has instructed banks to provide a capital restoration plan as part of it...

READ ALSO
Two Men Charged in CBEX Investment Scheme Remain in Custody
BY Abiodun Saheed Omodara July 8, 2025 0

A Federal High Court in Abuja has placed two businessmen, Aweruso Otorudo and Chukwuebuka Ehirim, in...

READ ALSO
Nigerian States Accumulate N417.7 Billion in Domestic Debt Amid Rising FAAC Revenue
BY Abiodun Saheed Omodara July 7, 2025 0

At least 10 Nigerian states have cumulatively increased their domestic debt by N417.7 billion from t...

READ ALSO
Tinubu Pledges to Eliminate Bureaucratic Hurdles in Agriculture During Bilateral Talks with Brazil
BY Abiodun Saheed Omodara July 6, 2025 0

President Bola Tinubu expressed his commitment on Saturday to his Brazilian counterpart, Luiz Inacio...

READ ALSO
Nigerian Investors Launch $5 Billion Cooperative Trust Fund to Empower MSMEs
BY Abiodun Saheed Omodara July 6, 2025 0

A coalition of Nigerian investors has introduced a Cooperative Trust Fund valued at $5 billion, aime...

READ ALSO
Nigeria Aims to Eliminate Routine Flaring by 2030 and Cut Methane Emissions by 60% by 2031
BY Abiodun Saheed Omodara July 3, 2025 0

The Nigerian Upstream Petroleum Regulatory Commission has announced that its gas-focused transition...

READ ALSO
NNPCL Revamps Financial Discipline, Collaborate with Independent Producers
BY Abiodun Saheed Omodara July 3, 2025 0

The CEO of Seplat Energy Plc, Roger Brown, stated that the Nigerian National Petroleum Company Limit...

OUR CHANNELS:

CBN Mandates Capital Restoration Plans for Banks: A Step Towards Regulatory Compliance
BY Abiodun Saheed Omodara July 8, 2025 0

The Central Bank of Nigeria has instructed banks to provide a capital restoration plan as part of it...


Nigeria Faces Teacher Shortage: Over 31 Million Learners Rely on Just 915,913 Educators
BY Abiodun Saheed Omodara July 9, 2025 0

According to data from the Universal Basic Education, only 915,913 teachers are available for at lea...


Tinubu Calls for Equitable Global Framework at BRICS Summit
BY Abiodun Saheed Omodara July 8, 2025 0

President Bola Tinubu has advocated for a more equitable global framework regarding climate action,...


Two Men Charged in CBEX Investment Scheme Remain in Custody
BY Abiodun Saheed Omodara July 8, 2025 0

A Federal High Court in Abuja has placed two businessmen, Aweruso Otorudo and Chukwuebuka Ehirim, in...


LASG Takes Action, Dismantled  Illegal Checkpoints Along Badagry Expressway
BY Abiodun Saheed Omodara July 8, 2025 0

LAGOS, Nigeria - The Lagos State government has dismantled illegal checkpoints along the Lagos&ndash...


Natasha's Return Plans on Hold as Senate Awaits Court Judgment Copy
BY Abiodun Saheed Omodara July 8, 2025 0

The suspended Senator representing Kogi Central, Natasha Akpoti-Uduaghan, has declared her intention...


Nigerian States Accumulate N417.7 Billion in Domestic Debt Amid Rising FAAC Revenue
BY Abiodun Saheed Omodara July 8, 2025 0

At least 10 Nigerian states have cumulatively increased their domestic debt by N417.7 billion from t...


Governor Otti Facilitates Release of Inmates After 26 Years
BY Abiodun Saheed Omodara July 8, 2025 0

Governor Alex Otti of Abia State on Saturday welcomed three Nigerians who were released after spendi...


Tinubu Pledges to Eliminate Bureaucratic Hurdles in Agriculture During Bilateral Talks with Brazil
BY Abiodun Saheed Omodara July 8, 2025 0

President Bola Tinubu expressed his commitment on Saturday to his Brazilian counterpart, Luiz Inacio...


Sowore Condemns Tenure Extensions of Senior Security Officials for Violating 35-Year Service Limit
BY Abiodun Saheed Omodara July 8, 2025 0

Human rights advocate and ex-presidential aspirant, Omoyele Sowore, has criticized the ongoing tenur...


More Articles

Load more...

Menu