Producer inflation for April in the US has been announced.

The US Department of Labor’s Bureau of Labor Statistics released April Producer Price Index (PPI) data.

In the US, the PPI rose 0.2 percent monthly and 2.3 percent year-on-year in April, below expectations.

The overall PPI in the US was -0.4 percent on a monthly basis and 2.7 percent on a yearly basis last March. The economists’ monthly PPI expectation was 0.3 percent and the annual PPI expectation was 2.4 percent.

BASIC PPI

The core PPI, which is calculated excluding US food and energy prices, was in line with expectations at 0.2% per month, while below expectations at 3.2% annual.

Energy prices increased 0.8 percent monthly, food prices decreased 0.5 percent. The increase in the producer price of personal consumption products was 0.4 percent.

By measuring the prices of the inputs used in production, the PPI gives clues about the prices of the final product and general inflation. The US Federal Reserve (Fed) tracks all inflation indicators, including the PPI.