US wholesale prices rise in latest sign of stubborn inflation as oil prices continue to climb
US wholesale prices grew 0.4% in August and core producer prices rose 0.2%. This trend follows a period of cooling earlier this summer. Higher gasoline and energy costs linked to the Iran war drove the increase. While Bloomberg reports the rise was lower than forecast, other reports indicate it met expectations. These producer costs often precede higher prices for consumers. In related markets, diesel prices have surpassed $6 per gallon and spot gold prices fell to $4,340 per ounce.
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- ✓ US wholesale prices increased 0.4% in August.
- ✓ Core producer prices grew 0.2% in August.
- ✓ Diesel prices have exceeded $6 per gallon.
- ✓ Spot gold prices dropped to $4,340 per ounce.
What changed
German wholesale prices rose 6.8% in August, the fastest rate since 2023.
Live updates
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US wholesale prices rise as oil costs climb
US wholesale prices grew 0.4% in August and core producer prices rose 0.2%. This trend follows a period of cooling earlier this summer. Higher gasoline and energy costs linked to the Iran war drove the increase. While Bloomberg reports the rise was lower than forecast, other reports indicate it met expectations. These producer costs often precede higher prices for consumers. In related markets, diesel prices have surpassed $6 per gallon and spot gold prices fell to $4,340 per ounce.
Why it matters
Wholesale price indices serve as a leading indicator for consumer inflation. Persistent increases in these costs suggest that inflation remains stubborn despite previous cooling trends. The current spike is tied specifically to geopolitical instability affecting energy markets.
What is confirmed
- US wholesale prices increased 0.4% in August.
- Core producer prices grew 0.2% in August.
- Diesel prices have exceeded $6 per gallon.
- Spot gold prices dropped to $4,340 per ounce.
- German wholesale prices rose 6.8% in August.
Still unconfirmed
- The US wholesale price increase was lower than forecast according to Bloomberg.
- The US wholesale price increase met expectations according to other reports.
What to watch next
- Updates on the Iran war impact on energy costs
- Future US consumer price index releases
confidence 90%Sources used for this update (4)
- www.orlandosentinel.com — Orlando business, jobs, real estate, tourism industry news: Orlando Sentinel
- www.baltimoresun.com — Business – Baltimore Sun
- www.dailynews.com — Donald Trump
- finance.yahoo.com — German wholesale prices soar by 6.8% in August, fastest since 2023
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US Wholesale Prices Rise Amid Climbing Oil Costs
US wholesale prices increased 0.4% in August, while core producer prices grew 0.2%. This upward trend follows a period of cooling earlier in the summer and stems from higher gasoline and energy costs linked to the Iran war. Bloomberg reports the increase was lower than forecast, though other reports suggest it met expectations. These producer costs typically lead to higher consumer prices. In related markets, diesel prices have exceeded $6 per gallon and spot gold prices dropped to $4,340 per ounce.
Why it matters
Rising producer prices often signal future inflation for consumers. The current spike is tied to geopolitical instability affecting energy markets.
What is confirmed
- US wholesale prices rose 0.4% in August.
- Core producer prices increased 0.2% in August.
- Diesel prices have surpassed $6 per gallon.
- Spot gold prices fell to $4,340 per ounce following the report.
Still unconfirmed
- The price increase was less than forecast according to Bloomberg.
- Rising producer costs are expected to boost consumer prices.
- Higher energy and gasoline costs were driven by the Iran war.
What to watch next
- Future consumer price index reports
- Updates on the Iran war's impact on energy
- New wholesale price data for September
confidence 80%Sources used for this update (4)
- www.pressdemocrat.com — National News
- www.courant.com — National News – Hartford Courant
- www.denverpost.com — Politics
- www.orlandosentinel.com — National & World News
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US Wholesale Prices Rise 0.4% in August Amid Climbing Energy Costs
US wholesale prices rose 0.4% in August, with core producer prices increasing 0.2%. Higher energy and gasoline costs driven by the Iran war pushed inflation upward after a period of cooling earlier this summer. While some reports indicate the rise met expectations, Bloomberg notes the increase was less than forecast. These rising producer costs are expected to boost consumer prices. In related markets, spot gold prices fell to $4,340 per ounce following the report, and diesel prices have surpassed $6 per gallon.
Why it matters
Wholesale inflation serves as a leading indicator for consumer price trends. Persistent energy costs, particularly oil staying above $100, suggest stubborn inflation pressures. This economic environment influences stock market volatility and gold valuations.
What is confirmed
- Wholesale prices rose 0.4% in August.
- Core producer prices increased 0.2% in August.
- Energy and gasoline costs contributed to the rise in wholesale inflation.
- Spot gold prices dropped to $4,340 per ounce following the August PPI report.
Still unconfirmed
- Diesel prices have passed $6 a gallon.
- US inflation rose 3.4% in the 12 months ending in August.
- Oil prices have remained above $100.
What to watch next
- Monday release of the Statistics Canada consumer price index for August.
- Further movements in oil prices relative to the Iran war.
- Upcoming US consumer price index reports to confirm if wholesale hikes pass to consumers.
confidence 90%Sources used for this update (13)
- CNBC — Wholesale prices rose 0.4% in August, as expected
- CNN — Wholesale inflation picked up in August, as energy costs kept rising | CNN Business
- Bloomberg.com — Key Gauge of US Producer Prices Rises Less Than Forecast
- AP News — US wholesale prices rise in latest sign of stubborn inflation as oil prices continue to climb
- Baton Rouge Business Report — Roundup: Wholesale inflation / Oil stays above $100 / Home sales fall
- KITCO — Spot gold price slides to $4,340/oz after August PPI rises 0.4%, core PPI rises 0.2%
- Yahoo Finance — U.S. Producer Prices Rise 0.4% in August as Energy Costs Increase
- Reuters — Gasoline likely to boost US consumer prices in August
- ABC News - Breaking News, Latest News and Videos — Inflation report to show latest prices as Iran war pushes up gas costs
- www.bnnbloomberg.ca — U.S. stocks jump after oil prices ease and inflation update comes in near expectations
- www.texarkanagazette.com — US wholesale prices rise in latest sign of stubborn inflation as oil prices continue to climb
- finance.yahoo.com — US inflation holds steady as diesel prices pass $6 a gallon
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