The Producer Price Index (PPI) didn't budge in July, according to the Bureau of Labor Statistics on Thursday. That was a miss against the 0.2% monthly rebound economists had penciled in, especially after June's 0.3% drop.
On an annual basis, producer inflation cooled to 4.7% from 5.5%, coming in below the 4.9% consensus. Strip out food and energy, and core PPI still managed a 0.2% monthly gain, though that was shy of the 0.3% expected. The yearly core rate eased from 4.7% to 4.2%, right in line with forecasts.
This lands a day after the July Consumer Price Index (CPI) rose just 0.1% month over month, pulling annual inflation down to 3.4% from 3.5%. Core CPI was up 0.2%, with its annual rate slipping to 2.5%. That report also matched expectations, showing the energy-driven inflation burst continuing to fade.
This is a developing story...
