Inflation fell to 6% in January in producer price index
by Zachary Halaschak, Economics Reporter |
February 16, 2023 08:32 AM
Inflation, as measured by producer wholesale prices, slowed to 6% for the year ending in January, according to a report Thursday from the Bureau of Labor Statistics.
That year-over-year inflation rate was down from 6.2% the month before and was still higher than what forecasters expected.
Looking at the past several months, it appears as though inflation (as measured by the producer price index) peaked and is on its way down, which is a bit of good news for President Joe Biden, whose approval ratings have been undercut by soaring costs for households.
Annual wholesale inflation previously peaked in March, clocking in at 11.7%. Trends in producer prices eventually trickle down to households.
The report comes just days after an update to the more closely watched consumer price index showed inflation falling only slightly, dropping from 6.5% in December to 6.4% last month. The headline number was higher than what most economists had expected and has raised concerns about more interest rate hikes by the Federal Reserve and a subsequent recession.
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https://www.washingtonexaminer.com/policy/economy/inflation-fell-to-6-in-january-in-producer-price-index