Producer prices for final demand in the US climbed 0.6 percent from a month earlier in March 2019, following a 0.1 percent gain in February and easily beating market expectations of 0.3 percent. That was the largest increase since last October, as goods prices surged 1 percent, the most since May 2015, boosted by a 5.6 percent jump in energy costs. In addition, services prices rose 0.3 percent, as a 1.1 percent increase in cost for trade services was enough to offset a 0.8 percent decline in prices for transportation and warehousing services. The core index, which excludes food and energy, went up 0.3 percent from the previous month, after a 0.1 percent gain in February and also beating consensus of 0.2 percent. On a yearly basis, producer prices rose 2.2 percent and the core index advanced 2.4 percent. Producer Prices in the United States averaged 109.46 Index Points from 2009 until 2019, reaching an all time high of 117.90 Index Points in March of 2019 and a record low of 100.20 Index Points in November of 2009.
Producer Prices in the United States is expected to be 118.84 Index Points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Producer Prices in the United States to stand at 119.71 in 12 months time. In the long-term, the United States Producer Prices is projected to trend around 124.62 Index Points in 2020, according to our econometric models.