A customer shops at a Kroger grocery store on July 15, 2022 in Houston, Texas.
Brandon Bell | Getty Images
The June producer price index rose less than expected, the Labor Department reported Thursday, in the latest sign that inflation in the United States is slowing.
The PPI for final demand rose by 0.1%. Economists polled by Dow Jones were expecting a 0.2% increase. Excluding food, energy and trade services, the PPI rose 0.1%, in line with expectations.
The manufacturers’ report comes a day after the June consumer price index posted a smaller-than-expected increase. The CPI rose just 3% year-on-year, its lowest since March 2021, fueling investors’ hopes that the Federal Reserve is nearing the end of its cycle of interest rate hikes.
Wholesale producer figures have fallen faster than consumer inflation data. In May, the PPI headline actually fell 0.4% and was flat if you exclude food, energy and trade services.