Wholesale prices unexpectedly fell 0.4% in March, showing easing inflation backdrop ahead of tariffs

[BumRushDaShow]

Source: CNBC

Published Fri, Apr 11 2025 8:48 AM EDT Updated 37 Min Ago


Wholesale prices unexpectedly fell in March, setting up a favorable inflation backdrop as President Donald Trump began intensifying tariffs against U.S. trading partners, the Bureau of Labor Statistics reported Friday.

The producer price index, considered a leading indicator for pipeline inflation pressures, declined a seasonally adjusted 0.4% for the month, after rising 0.1% in February. Economists surveyed by Dow Jones had been looking for an increase of 0.2%. It was the first decline for PPI since October 2023.

Excluding food and energy, the so-called core PPI also dropped, down 0.1% against the estimate for a 0.3% increase. The index less food, energy and trade services increased 0.1%. Stock market futures and Treasury yields both were higher following the release.

More than 70% of the slide in final demand prices came from a 0.9% tumble in goods prices, a key measure as policymakers look for inflation drivers. Most of that drop was attributed to an 11.1% slide in gasoline prices. Services prices also pulled back, falling 0.2%. Nevertheless, the indicators showed inflation still holding above the Federal Reserve’s 2% target.

Read more: https://www.cnbc.com/2025/04/11/wholesale-inflation-march-2024-.html

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PPI for final demand decreases 0.4% in March; goods decline 0.9%, services fall 0.2% https://bls.gov/news.release/ppi.nr0.htm
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8:32 AM · Apr 11, 2025

[Ocelot II]

1. That just got blown out of the water.

[Bernardo de La Paz]

2. The Core PPI was only -0.1%. The rest is due to dramatic drop in oil prices. . . . nt

[getagrip_already]

3. We can no longer trust any gov economic numbers

They are likely ALL being doctored. Anyone who objects are being fired.

It is all hype and propaganda now.

[wiggs]

4. Correct. nt

[marble falls]

5. Or when panic starts stifling demand, supply prices drop - correction or recession?

[JBTaurus83]

6. Even if the numbers are true

it doesn't ever seem to trickle down to the consumer. My groceries, utlities, home insurance, and just about everything else is up dramatically year over year.

[wolfie001]

7. Yes. Higher profits for corpser-ations

Higher profit margin, more consolidation. For consumers, less choices and higher prices. That's the new American way. Or the regular American way since 1980.

[JBTaurus83]

8. Yes

it seems one of the biggest issue is allowing all of these mergers, and never breaking up any of the mega corps. It is the only way to get competition and lower prices.

[wolfie001]

9. And voting for the right party! Democratic 100% up & down the ballot

[Martin68]

10. That will make post tariff price increases stand out all the more, drawing a firm line between the Biden

administration and Trump's

[Bengus81]

11. Prices will fall when people aren't buying,just like at the pump. No mystery

Wait until the full force of 145% tariffs hit in a month or so.