July 13, 2023
The seasonally adjusted Producer Price Index (PPI) for final demand increased 0.1% in June 2023, according to the US Bureau of Labor Statistics (BLS). The final demand index increased 0.1% for the year ended June 2023 on an unadjusted basis; however, the final demand services index increased by 0.2 percent in June, which is what caused the increase in final demand pricing. Prices for items with final demand remained constant.
After being unchanged in May, the index for final demand excluding food, energy, and trade services increased by 0.1 percent in June. Prices for final demand—less food, energy, and trade services—rose 2.6 percent during the past 12 months that ended in June.
Final demand services
Similar to May, the final demand services index rose 0.2 percent in June. Prices for final demand services minus trading, transportation, and warehousing increased by 0.3 percent, which led the June increase. Final demand trade service margins increased by 0.2%. Trade indices track changes in the margins that retailers and wholesalers earn. In contrast, the index for warehousing and transportation services saw a 0.9 percent decline.
Final demand goods
Prices for items with a final demand were stable in June compared to May’s 1.6 percent drop. In June, dropping prices for final demand products excluding food and energy and for final demand foods were partially offset by an increase of 0.7 percent in the index for final demand energy.
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