US Core PPI Unexpectedly Drops

2025-09-10 12:38 By Andre Joaquim 1 min. read

Core producer prices in the United States, which exclude food and energy, fell by 0.1% from the previous month in August of 2025, contrasting sharply with expectations of a 0.3% increase following the downwardly revised 0.7% increase in the previous month.

It was only the third drop in core producer prices since the pandemic shock in the second quarter of 2020, suggesting that factory gate prices could start slowing following a prolonged stubborn period.

Final demand prices for services fell by 0.2% from the previous month to trim the 0.7% increase in July, while final demand prices for goods inched higher by 0.1% following a 0.6% increase last month.

From the previous year, core producer inflation flowed to 2.8% from 3.4%.



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