Producer Prices Come In A Bit Higher Than Expected

dollar cash money

Photo: MoneyBlogNewz / Flickr

The July producer price index came in at 0.3 per cent, which was a bit higher than economists’ expectation for a 0.2 per cent climb.Core PPI, which excludes food and energy, increased by 0.4 per cent, which was also higher than the 0.2 per cent expected.

Economists, particularly the Fed watchers, are keeping a close eye on the inflation measures.

As long as inflation is tame, the Federal Reserve will have flexibility to pursue more easy monetary policy.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.