US Producer Prices Soar to Record High in December
After yesterday’s eye-watering CPI print showed that consumer prices soared to the highest in nearly 40 years, today’s producer price index also wasn’t shy to hit a new record-high for December.
The latest data from the BLS indicated that producer prices rose to 9.7% from December 2021— slightly less than the 9.8% consensus estimate, but still a record-high that marks the 20th consecutive month of increases. Core PPI, which does not account for volatile components such as food and energy, was up 8.3% year-over-year, substantially above the 8% forecast by analysts, and also another record-high.
The figures point to an economy that continues to suffer from surging inflation that has become prominent across nearly all sectors. Producers are still facing material and labour shortages, as well as shipping constraints, which could become even more exasperated amid the spread of the Omicron variant.
Information for this briefing was found via the BLS. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.