After a good CPI number, we have good PPI number. 8% instead of 8.3% that was expected
The Producer Price Index for final demand increased 0.2% in October, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Final demand prices rose 0.2% in September and were unchanged in August. (See table A.) On an unadjusted basis, the index for final demand advanced 8.0% for the 12 months ended in October.
In October, the rise in the index for final demand can be attributed to a 0.6% advance in prices for final demand goods. In contrast, the index for final demand services decreased 0.1%.
Prices for final demand less foods, energy, and trade services advanced 0.2% in October following a 0.3% rise in September. For the 12 months ended in October, the index for final demand less foods, energy, and trade services increased 5.4%.
Final Demand
Final demand goods: The index for final demand goods moved up 0.6% in October, the largest advance since a 2.2% rise in June. Most of the October increase can be traced to a 2.7% jump in prices for final demand energy. The index for final demand foods advanced 0.5%. Conversely, prices for final demand goods less foods and energy decreased 0.1%.
Product detail: In October, 60% of the increase in prices for final demand goods is attributable to the index for gasoline, which rose 5.7%. Prices for diesel fuel, fresh and dry vegetables, residential electric power, chicken eggs, and oil field and gas field machinery also advanced. In contrast, the index for passenger cars declined 1.5%. (In accordance with usual practice, most new-model-year passenger cars and light motor trucks were introduced into the PPI in October.
In October, the rise in the index for final demand can be attributed to a 0.6% advance in prices for final demand goods. In contrast, the index for final demand services decreased 0.1%.
Prices for final demand less foods, energy, and trade services advanced 0.2% in October following a 0.3% rise in September. For the 12 months ended in October, the index for final demand less foods, energy, and trade services increased 5.4%.
Final Demand
Final demand goods: The index for final demand goods moved up 0.6% in October, the largest advance since a 2.2% rise in June. Most of the October increase can be traced to a 2.7% jump in prices for final demand energy. The index for final demand foods advanced 0.5%. Conversely, prices for final demand goods less foods and energy decreased 0.1%.
Product detail: In October, 60% of the increase in prices for final demand goods is attributable to the index for gasoline, which rose 5.7%. Prices for diesel fuel, fresh and dry vegetables, residential electric power, chicken eggs, and oil field and gas field machinery also advanced. In contrast, the index for passenger cars declined 1.5%. (In accordance with usual practice, most new-model-year passenger cars and light motor trucks were introduced into the PPI in October.
Final demand services: The index for final demand services fell 0.1% in October, the first decline since moving down 0.2% in November 2020. Leading the October decrease, margins for final demand trade services fell 0.5%. (Trade indexes measure changes in margins received by wholesalers and retailers.) Prices for final demand transportation and warehousing services moved down 0.2%. Conversely, the index for final demand services less trade, transportation, and warehousing increased 0.2%.
Product detail: A major factor in the October decrease in prices for final demand services was the index for fuels and lubricants retailing, which fell 7.7%. The indexes for portfolio management, long-distance motor carrying, automobile retailing (partial), and professional and commercial equipment wholesaling also moved lower. In contrast, prices for hospital inpatient care increased 0.8%. The indexes for services related to securities brokerage and dealing (partial), apparel wholesaling, and airline passenger services also rose.
Product detail: A major factor in the October decrease in prices for final demand services was the index for fuels and lubricants retailing, which fell 7.7%. The indexes for portfolio management, long-distance motor carrying, automobile retailing (partial), and professional and commercial equipment wholesaling also moved lower. In contrast, prices for hospital inpatient care increased 0.8%. The indexes for services related to securities brokerage and dealing (partial), apparel wholesaling, and airline passenger services also rose.
$CapitaLandInvest(9CI.SG$, $CapLand China T(AU8U.SG$, $CapLand IntCom T(C38U.SG$, $Daiwa Hse Log Tr(DHLU.SG$, $DigiCore Reit USD(DCRU.SG$, $FRASERS PROPERTY LIMITED(TQ5.SG$, $FRASERS CENTREPOINT TRUST(J69U.SG$, $ManulifeReit USD(BTOU.SG$, $PropNex(OYY.SG$, $HongkongLand USD(H78.SG$, $Keppel(BN4.SG$, $Olam Group(VC2.SG$, $PropNex(OYY.SG$, $Seatrium(S51.SG$, $SGX(S68.SG$, $Singtel(Z74.SG$, $PARAGONREIT(SK6U.SG$, $Suntec Reit(T82U.SG$, $Wilmar Intl(F34.SG$, $Bed Bath & Beyond Inc(BBBY.US$ $AMC Entertainment(AMC.US$ $GameStop(GME.US$ $Tesla(TSLA.US$ $Twitter (Delisted)(TWTR.US$ $SPDR S&P 500 ETF(SPY.US$ $Nasdaq Composite Index(.IXIC.US$ $Credit Suisse(CS.US$ $Tricida(TCDA.US$ $Futu Holdings Ltd(FUTU.US$ $NIO Inc(NIO.US$ $Alibaba(BABA.US$
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
Hayden Rozalski : CP{lie} won’t be the decider. It’s end of year so we will see stocks rise through mid January while people spend money. 2023 will be very bearish economically, as well as for stocks.
Small bull : and oil still rumble down. Tomorrow down for SMM again
doctorpot1OP Hayden Rozalski: I guess it is up to JPow now hahaha see if he decide to kill the rally or what with his interest rate hike
doctorpot1OP Small bull: SMM and Keppel inching closer to merger liao
TheApeInvestor : Most of the decrease was from Biden draining the strategic Reserves to lower gas prices.
doctorpot1OP TheApeInvestor: I'm also wondering if companies will drop the price of goods even if PPI goes down as well. Since price are usually sticky. companies can earn a huge profit if they don't pass down the savings
Small bull doctorpot1OP: Rarely will decrease. Example SBS bus always increase with reasons of oil price but when oil drop to very low, they blame cannot lower back due to other costs,.....
doctorpot1OP Small bull: ya that is what I experienced as well, especially with shrinkflation hahaha like the potato chips they sell at same price, but the grams drop by 20 grams... they wont add back the "stolen" potato chips later on de
102676525 : Breaking through 282 would rise by 2.86 to 290.
romantic Chipmunk_49 : sweet