US producer inflation in February rises 1.6% annually, 0.6% monthly; both above estimates

By Ovunc Kutlu

ISTANBUL (AA) - US producer inflation in February rose 1.6% annually and 0.6% on a monthly basis, as both figures came above market estimates, according to official figures released on Thursday.

The producer price index (PPI), which measures changes in the price of goods and services from a producer perspective, was expected to show an annual gain of 1.1%.

The annual figure for January was revised up to a gain of 1% from a 0.9% increase.

"On an unadjusted basis, the final demand index advanced 1.6 percent for the 12 months ended in February, the largest rise since moving up 1.8 percent for the 12 months ended September 2023," the Labor Department said in a statement.

On a monthly basis, the PPI increased 0.6% in February, above the market expectation of a 0.3% gain, following a gain of 0.3% in January.

Core producer prices, which exclude food, energy and trade, increased 0.4% in February after rising 0.6% in the month before.

Core PPI in February increased 2.8% on an annual basis following a gain of 2.7% in January.