Posted 2/16/2024, 1:46:38 PM
U.S. Producer Prices See Largest Rise in 5 Months, Stoking Inflation Concerns
- U.S. producer prices rose more than expected in January, increasing 0.3% from December for the largest gain in 5 months
- Services prices jumped 0.6%, driven by a 2.2% increase in hospital outpatient care and a 5.5% surge in portfolio management fees
- Wholesale goods prices fell 0.2%, with declines in food, energy, and transportation costs
- Excluding food and energy, core producer prices rose 0.3% in January after edging up 0.1% in December
- The data raised concerns that inflation may be re-accelerating after months of cooling, prompting financial markets to scale back expectations of Fed interest rate cuts