The U.S. Bureau of Labor Statistics announced on Thursday (12th) that the U.S. producer price index (PPI) rose further, rising 11% from a year earlier, higher than the expected 10.7%, but weaker than the revised 11.5% in March.
The core PPI of the United States increased by 8.8% in April, lower than the expected 8.9%, and the previous value was 9.2%.
On a monthly basis, the PPI was 0.5%, in line with expectations. Core PPI rose 0.4% m/m, missing expectations for a 0.6% rise.
The previously reported 8.3% y/y increase in the CPI was also weaker than March’s 8.5%, but still indicated that the US is still experiencing its worst inflation since the early 1980s.
Data shows that persistent inflation in production channels, driven by categories such as housing, food, airline tickets and new cars, continues to impact consumer prices. At the same time, producers are under pressure from rising costs as supply chains remain tight, increasing the likelihood of passing costs on to consumers.
