US producer inflation in March rises 2.1% annually, 0.2% monthly; both below estimates

By Ovunc Kutlu

ISTANBUL (AA) - US producer inflation in March rose 2.1% annually and 0.2% on a monthly basis, as both figures came below 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 2.2%.

The figure, however, is the largest advance since rising 2.3% in April 2023, and it paced up from February when it showed a year-on-year increase of 1.6%.

"A major factor in the March increase in prices for final demand services was the index for securities brokerage, dealing, investment advice, and related services, which rose 3.1 percent," the Labor Department said in a statement.

On a monthly basis, the PPI increased 0.2% in March, also below the market expectation of a 0.3% gain, following an increase of 0.6% in February.

Core producer prices, which exclude food, energy and trade, increased 0.2% in March, while the figure for February was revised down to a gain of 0.3% from an increase of 0.4%.

Core PPI in March increased 2.8% on an annual basis, and the figure for February was revised down slightly to a gain of 2.7% from an increase of 2.8%.