US producer price inflation slows on energy
US producer price gains slowed in July, largely on declines in gasoline prices, suggesting reduced pricing pressures will show up in consumer prices.
The producer price index in the 12 months through July rose by 9.8pc, slowing from an 11.3pc annual pace in June, the Bureau of Labor Statistics reported. The 12-month index peaked at 11.7pc in March.
On a month-over-month basis, PPI fell in July by 0.5pc on a seasonally adjusted basis, after rising by 1pc in June.
Core PPI, which strips out fuel, food and trade services, rose in July at a 5.8pc annual pace, slowing from 6.4pc in the 12 months through June. Core PPI peaked at 7.1pc in March. On a month-over-month basis, core PPI rose in July by 0.2pc following a 0.3pc gain in June.
Today's report on prices paid to producers follows a report yesterday that showed consumer prices in July rose on the year by 8.5pc following June's 9.1pc gain, the fastest pace since 1981. Prices for gasoline and diesel have steadily fallen since reaching record highs in June as demand has cooled in tandem with an overall slowing of the economy and aggressive interest rate hikes by the Federal Reserve.
The PPI index for final demand goods fell in July by 1.8pc from the prior month, led by a 9pc decline in the final demand index for energy. The index for final demand services rose by 0.1pc on the month.
The PPI index for final demand energy rose by 36.8pc on an annual basis, slowing from 54.4pc in the 12 months through June.
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Brightmark to build Georgia pyrolysis plant
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Cepsa supplies HVO bunker fuel in Algeciras
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Iraq to keep 3.3mn b/d crude export cap until year end
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