The U.S. Department of Labor reported that the Producer Price Index (PPI) rose 9.7% in January from a year earlier. The PPI thus exceeded analysts’ expectations for a 9.1% increase, following a 9.8% rise in December.
On a monthly basis, the PPI rose 1.0% in January, following a 0.4% increase in December.
The core PPI, which excludes food and energy, rose 0.8% in January from the previous month, following a 0.6% increase in December.
Year on year, the core PPI rose 8.3%, following an 8.5% increase in December.
A key factor in the increase was prices for outpatient hospital treatment, which rose by 1.6 percent. The index values for wholesale trade in machinery and vehicles, retail trade in clothing, jewelry, footwear and accessories, accommodation services for travelers, Asset management; and Truck transportation of goods also increased.
By contrast, profit margins decreased for the retail sale of fuels and lubricants fell by 9.7 percent. The indices for passenger transportation and for medical care also declined.