US Producer Inflation Picks Up in November

Producer prices in the US soared 1.4% month-over-month in April 2026, the biggest increase since March 2022, following an upwardly revised 0.7% gain in March and well above forecasts of 0.5%. Prices of goods jumped 2%, led by a 15.6% surge in gasoline as war in Iran continued to drive cost of oil higher. Prices for jet fuel, diesel fuel, fresh and dry vegetables, industrial chemicals, and residual fuels also rose. Prices of services went up 1.2%, the most since March 2022, led by a 3.5% increase in margins for machinery and equipment wholesaling. Cost also went up for truck transportation of freight; fuels and lubricants retailing; health, beauty, and optical goods retailing; chemicals and allied products wholesaling; and legal services. Year-on-year, producer prices jumped 6%, the biggest increase since December 2022, following an upwardly revised 4.3% rise in the previous month and above forecasts of 4.9%.

US producer prices are expected to increase by 0.5% month-on-month in April 2026, matching the pace recorded in both February and March, as energy costs continue to face upward pressure amid the ongoing conflict with Iran. Core producer prices, which exclude the volatile food and energy components, are forecast to rise 0.3%, following a more modest 0.1% increase in the previous month. On an annual basis, headline producer inflation is projected to accelerate sharply to 4.9%, marking a third consecutive monthly increase and reaching its highest level since January 2023, up from 4.0% in March. At the same time, the annual core producer inflation rate is expected to climb to 4.3% from 3.8% in both February and March, which would represent its highest reading since February 2023.

US producer prices increased by 0.5% month-over-month in March 2026, matching the previous period’s growth and falling short of market expectations of 1.1%. Goods prices surged 1.6%, the largest increase since August 2023, fueled by an 8.5% jump in energy costs, largely attributed to the ongoing Iran conflict. Meanwhile, final demand food prices declined by 0.3%. On the services side, prices remained unchanged after a 0.3% increase in February. Within this category, a 1.3% rise in transportation and warehousing costs, along with a 0.1% uptick in other final demand services, offset a 0.3% decline in trade service margins. Year-over-year, producer prices rose 4%, the largest increase since February 2023 but still below the expected 4.6%. The core index, excluding food, energy, and trade services, edged up 0.2% month-over-month, slower than the 0.5% gains seen in both January and February, and climbed 3.6% year-over-year.