Producer Price Index for final demand up 0.1 percent in July 2014

August 18, 2014

In July 2014, the Producer Price Index for final demand rose 0.1 percent, seasonally adjusted. This increase followed a 0.4-percent advance in June and a 0.2-percent decline in May. On an unadjusted basis, the index for final demand climbed 1.7 percent for the 12 months ended in July.

1-month percent changes in selected final demand price indexes, seasonally adjusted, July 2013–July 2014
MonthTotal final demandFinal demand, goodsFinal demand, services

Jul 2013

0.30.10.5

Aug 2013

-0.10.0-0.1

Sep 2013

0.1-0.10.2

Oct 2013

0.30.10.3

Nov 2013

0.0-0.10.0

Dec 2013

0.00.4-0.2

Jan 2014

0.30.50.1

Feb 2014

0.20.20.3

Mar 2014

0.30.10.4

Apr 2014

0.50.50.4

May 2014

-0.2-0.2-0.2

Jun 2014

0.40.50.3

Jul 2014

0.10.00.1

The index for final demand services inched up 0.1 percent in July after rising 0.3 percent in the prior month. Leading the July increase, the index for final demand transportation and warehousing services moved up 0.5 percent; prices for truck transportation of freight climbed 0.7 percent. Margins for final demand trade services advanced 0.2 percent. In July, margins for automotive fuels and lubricants retailing and for apparel, footwear, and accessories retailing increased. The indexes for portfolio management and passenger car rental also moved higher. In contrast, margins for machinery and equipment wholesaling fell 1.7 percent in July. The indexes for loan services (partial); apparel wholesaling; and health, beauty, and optical goods retailing also decreased.

Prices for final demand goods were unchanged in July after moving up 0.5 percent in June. In July, a 0.2-percent rise in the index for final demand goods less foods and energy and a 0.4-percent increase in prices for final demand foods offset a 0.6-percent decline in the index for final demand energy. Prices for meats, processed poultry, residential electric power, and light motor trucks also moved higher. Conversely, gasoline prices fell 2.1 percent in July. The indexes for soybeans, fresh and dry vegetables, grains, and gold and platinum jewelry also decreased.

These data are from the BLS Producer Price Indexes program. To learn more, see “Producer Price Indexes — July 2014” (HTML) (PDF), news release USDL‑14‑1500. All producer price indexes are routinely subject to revision once, 4 months after original publication, to reflect the availability of late reports and corrections by respondents. Final demand includes goods, services, and construction that are sold for personal consumption, capital investment, government purchases, and export.

SUGGESTED CITATION

Bureau of Labor Statistics, U.S. Department of Labor, The Economics Daily, Producer Price Index for final demand up 0.1 percent in July 2014 on the Internet at http://www.bls.gov/opub/ted/2014/ted_20140818.htm (visited December 21, 2014).

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