Producer Price Index Shows Demand

December 12, 2022

The Producer Price Index (PPI) increased 0.3 percent in November. The index for final demand rose 7.4 percent for the 12 months ending in November. PPI measures the average change over time in the selling prices received by domestic producers for their output. PPI is considered a leading economic indicator and a measure of wholesale inflation. The month-over-month increase exceeded forecasts and October and September were revised upwards. The annual reading is the lowest in 18 months.