U.S. producer prices rose 0.3% in October and 6.5% over the year, the fastest annual rise since November 2022, adding to inflation concerns before the Federal Reserve’s December meeting.
The Bureau of Labor Statistics released the figures on Friday, November 13. It reported that October’s monthly increase was smaller than the 0.4% economists had expected. Prices had risen 1.4% in September.
October’s slower increase contrasted with September’s large rise. Goods prices rose 0.5%. Service prices rose 0.2%.
Food prices climbed 1.3%. Energy prices edged down 0.1%. A price measure that excludes food, energy and trade services rose 0.5% in October.
It was up 4.9% over 12 months. Higher prices for transportation and warehousing services helped raise service prices. Truck-shipping costs were among the notable increases.
The annual producer-price figure was higher than September’s 6.3%. This was the case even though October’s monthly increase slowed. The report adds to the inflation data policymakers will consider as they weigh interest rates in December.
But the report alone does not determine what the Fed will do.