The prices charged by U.S. businesses for goods and services rose by just 0.1 percent in June.
The Labor Department’s producer price index rose by just one-tenth of a percentage point last month both compared with the prior month and from a year ago. That’s the lowest year-0ver-year reading since September 2020.
Economists had been expecting the monthly figure would rise by 0.2 percent compared with May. The forecast for annual inflation was for a 0.5 percent climb.
In May, the producer price index declined on a month-to-month basis, falling 0.3 percent from April. For the year, May’s results showed prices were up 1.1 percent.
Excluding food and energy, prices were also up 0.1 percent for the month. For the year, core PPI is up 2.4 percent. Excluding trade services, a measure of margins at wholesalers and retailers, prices increased 0.1 percent for the month and are up 2.8 percent for the year.
The PPI for services increased 0.2 percent in June, the same as in May. Prices for goods were unchanged after falling 1.6 percent last month.