US Producer Inflation Picks Up in November

US producer prices rose 0.7% month-over-month in February 2026, above 0.5% in January and much higher than forecasts of 0.3%. It is the biggest increase in producer prices in seven months, with goods prices soaring 1.1% the most since August 2023, led by a 48.9% jump in prices for fresh and dry vegetables. The indexes for diesel fuel, chicken eggs, gasoline, jet fuel, and tobacco products also increased. Conversely, prices for jewelry and jewelry products fell 4%. Decreases were also seen in the cost for home heating oil and for soft drinks. Meanwhile, prices for services rose 0.5%, the least in three months, with prices for traveler accommodation services rising 5.7% and making the largest contribution. The core PPI increased 0.5%, after a 0.8% rise in January but above forecasts of 0.3%. On an annual basis, headline producer inflation jumped to 3.4%, the highest in a year, compared to 2.9% in January and forecasts it would remain at 2.9%. Core producer inflation also jumped to 3.9%.

US producer prices are expected to rise by 0.3% month-over-month in February 2026, below 0.5% in January and the least in three months. Core PPI, which excludes food and energy, is also forecast to increase by 0.3%, compared with a 0.8% jump in the previous month. On an annual basis, headline producer inflation is projected to remain at 2.9%, the same as in January. Core producer inflation is expected to edge up to 3.7%, which would be the highest reading since March last year, compared to 3.6% in January. Investors will be watching the release closely for signs of tariff-related price pressures, though the data are likely to continue to suggest that such effects remain limited for now.

US producer prices increased 0.5% mom in January 2026, following a downwardly revised 0.4% rise in December and above forecasts of 0.3%. Prices of services increased 0.8%, the most since July, led by a 14.4% jump in margins for professional and commercial equipment wholesaling. Prices also increased for apparel, footwear; chemicals; bundled wired telecommunications access services; health, beauty, and optical goods retailing; and food and alcohol retailing. On the other hand, prices for goods were down 0.3%, the largest fall since March 2025, mainly due to a 5.5% drop in gasoline. Prices for chicken eggs, electric power, gas fuels, fresh fruits and melons, and ethanol also moved lower. Year-on-year, producer prices went up 2.9%, the least in three months, but above forecasts of 2.6%. Core producer prices jumped 0.8%, also the most in six months, compared to forecasts of 0.3%. Year-on-year, core producer prices rose 3.6%, well above forecasts of 3%.