Here come producer prices ...

The latest data on prices producers pay at a wholesale level will be released at 8:30 a.m. ET.

Economists estimate that the producer price index (PPI) for final demand rose 0.3% month-on-month in May, according to Bloomberg. Compared to the previous year, they estimate a drop by 0.1%.

PPI excluding the costs of food and energy is estimated at 0.1% month-on-month, and 1% year-on-year.

The index is used as a forward-looking indicator of inflation because if producers are paying more for their purchases, they would most likely pass on these costs to consumers via higher shelf prices.

“After yesterday’s import price surprise, the risk to PPI is on the upside,” said Marc Chandler, global head of currency strategy at Brown Brothers Harriman. Import prices rose in May at the fastest pace since 2012, by 1.4%, signalling that inflation is rising due to recovering oil prices and the fading dollar.

Refresh this page for the latest at the bottom of the hour.

NOW WATCH: We did a blind taste test of wings from Pizza Hut, Domino’s, Papa John’s, and Buffalo Wild Wings — the winner was clear

NOW WATCH: Money & Markets videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.