Producer price index inflation data from the US:

  • Prior was +1.9%
  • Ex food and energy +2.4% vs +2.4% y/y expected
  • Ex food, energy and trade +2.0% vs +2.3% prior (lowest since Aug 2017)

Month over month data:

  • PPI +0.6% vs +0.3% expected (highest in 5 months)
  • Ex food and energy +0.2% vs +0.3% expected
  • Ex food and energy and trade 0.0% vs +0.1% prior
  • Goods prices +1.0% m/m vs +0.4% prior
  • Services prices +0.3% vs 0.0% prior

The headline is inflationary but it looks like gasoline (+16%) and tariffs skewed the numbers higher. Strip those out and there is little core inflation.