Wholesale Prices Stay Flat in July, Missing Expected 0.2% Growth
Quick Brief
Wholesale prices remained unchanged in July, defying forecasts of a modest increase. According to the Dow Jones consensus, economists had anticipated a 0.2% rise in the producer price index.
What Happened?
The producer price index showed no growth in July, holding flat rather than matching the anticipated 0.2% increase projected by the Dow Jones consensus.
Why It Matters
Tracking the producer price index offers insight into inflationary pressures at the wholesale level before they reach consumers, helping economists gauge overall economic health.
Key Facts
- Wholesale prices were completely flat in July.
- The outcome fell below the anticipated 0.2% increase.
- Forecasts were based on the Dow Jones consensus.
Compiled from 1 outlet
Related Stories
Economists Divide Over Post-Pandemic Economic Shape
Economists have officially lost their previous consensus regarding the trajectory of the post-pandemic economy. While experts previously viewed the economic recovery as K-shaped, that agreement has completely evaporated. Analysts are now debating alternative economic shapes including C and E models.
July Core Prices Rise 3.3% Annually on Fed's Preferred Inflation Gauge
The personal consumption expenditures price index reveals that core prices grew 3.3% annually in July. Economists surveyed by Dow Jones had anticipated a 3.6% 12-month increase and a 0.1% monthly gain.
Federal Reserve Official Hammack Advocates For Immediate Interest Rate Increases
Federal Reserve official Hammack has stated that the central bank must take immediate action to raise interest rates. She emphasized that higher rates are necessary to address persistent inflation affecting household finances.
Stanley Druckenmiller and Market Skeptics Question Bessent's Bond Strategies
Recent bond market interventions have prompted criticism from prominent financial figures. Investor Stanley Druckenmiller is leading a group of doubters who believe these bond strategies will ultimately fail. Despite the skepticism, the maneuvers have managed to produce a modest drop in yields.