Wholesale prices rose 0.3% in October, putting annual rate at 6.5%, the highest in nearly four years - CNBC
Wholesale prices in the U.S. rose 0.3% in October, bringing the annual inflation rate to 6.5%. Despite the increase, the Federal Reserve is expected to proceed with interest rate hikes as inflation remains above their 2% target.
Why it matters
Persistent inflation and potential interest rate hikes directly impact borrowing costs, stock market performance, and the broader economic outlook for consumers and businesses.
Wholesale prices increased less than expected in October, but inflation pressures persisted and the Federal Reserve is likely still on target for an interest rate increase soon.
The producer price index , which measures the prices domestic producers get for their products before they reach the consumer, rose a seasonally adjusted 0.3% for the month, against the Dow Jones consensus for a 0.4% increase, the Bureau of Labor Statistics reported Friday.
Stripping out food and energy, core PPI posted a 0.3% gain, meeting expectations.
On an annual basis, headline PPI accelerated 6.5%, up 0.2 percentage point for the highest annual rate since November 2022.
Also covering this story
One other newsroom covered this event. We read that version too.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in