December 14, 2023
In November, the Producer Price Index (PPI) for final demand in the United States remained unchanged on a seasonally adjusted basis, according to the U.S. Bureau of Labor Statistics. This follows a 0.4 percent decrease in October and a 0.4 percent increase in September. On an unadjusted basis, the index for final demand showed a 0.9 percent increase over the 12 months ending in November. This information suggests stability in producer prices for final demand in November, with a modest increase over the past year.
In November, the Producer Price Index (PPI) for final demand, excluding the impact of foods, energy, and trade services, increased by 0.1 percent. This marks the sixth consecutive monthly advance for this specific index. Over the 12 months ending in November, prices for final demand, excluding foods, energy, and trade services, rose by 2.5 percent.
Final demand goods
In November, the Producer Price Index (PPI) for final demand goods remained unchanged, following a 1.4 percent drop in October. In the same month, there was a 0.6 percent increase in prices for final demand foods and a 0.2 percent increase for final demand goods excluding foods and energy. These increases helped offset a 1.2 percent decrease in the index for final demand energy.
Notably, there was a significant increase of 58.8 percent in prices for chicken eggs within the final demand goods category. Additionally, the indexes for fresh fruits and melons, utility natural gas, electric power, and carbon steel scrap also experienced upward movement. Conversely, gasoline prices declined by 4.1 percent. Prices for processed poultry, industrial chemicals, jet fuel, and liquefied petroleum gas, on the other hand, showed decreases during the same period.
Final demand services
In November, the Producer Price Index (PPI) for final demand services showed no change compared to October. Within this category, prices for final demand services, excluding trade, transportation, and warehousing, increased by 0.1 percent. However, there were declines in the indexes for final demand trade services (0.2 percent decrease) and final demand transportation and warehousing services (0.5 percent decrease) during the same period.
Within the Producer Price Index (PPI) for final demand services, there was a notable increase of 4.0 percent in prices for traveler accommodation services. Additionally, several other service categories saw advances, including deposit services (partial), health, beauty, and optical goods retailing, food and alcohol wholesaling, and apparel, footwear, and accessories retailing. Conversely, there was a decline of 5.1 percent in margins for automobile retailing (partial). The indexes for chemicals and allied products wholesaling, portfolio management, furniture retailing, and truck transportation of freight also experienced decreases during the same period.
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