Will Consumer Prices Rise?... U.S. Producer Price Index Up 6.5%

Highest Level in Three and a Half Years

The U.S. Department of Labor's Bureau of Labor Statistics announced on June 13 (local time) that the Producer Price Index (PPI) in the United States for May had risen by 6.5% year-on-year.

This represents the highest rate of increase in three years and six months since November 2022 (7.4%). The month-on-month increase was 1.1%, identical to the revised figure for April, and significantly exceeded the 0.7% forecast by experts surveyed by Dow Jones.

Yonhap News Agency

Excluding the highly volatile categories of energy, food, and trade services, the Producer Price Index rose by 0.8% from the previous month and by 5.1% from a year earlier.

The Producer Price Index, excluding only energy and food prices but including trade services, increased by 0.4% month-on-month and by 4.9% year-on-year.

The Producer Price Index, also referred to as wholesale prices, is considered a leading indicator for consumer prices, as it is typically reflected in final consumer goods prices after a certain time lag.

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