2017 Economic Calendar
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PPI-FD  
Released On 7/13/2017 8:30:00 AM For Jun, 2017
PriorConsensusConsensus RangeActual
PPI-FD - M/M change0.0 %0.0 %-0.1 % to 0.1 %0.1 %
PPI-FD - Y/Y change2.4 %2.0 %
PPI-FD less food & energy - M/M change0.3 %0.2 %0.1 % to 0.2 %0.1 %
PPI-FD less food & energy - Y/Y change2.1 %1.9 %
PPI-FD less food, energy & trade services - M/M change-0.1 %0.2 %0.1 % to 0.2 %0.2 %
PPI-FD less food, energy & trade services - Y/Y change2.1 %2.0 %

Highlights
Inflation data, wherever one looks, are weak. Producer prices edged only 0.1 percent higher in June as did the less food & energy reading with year-on-year rates moving down noticeably, to 2.0 for a 4 tenths decline overall and to 1.9 percent for the core and a 2 tenths dip. The less food, energy and trade services reading did rise 0.2 percent but this on-year rate still slipped 1 tenth to 2.0 percent.

Service prices are in fact the best news in the report though the overall gain is only 0.2 percent and the reading for trade services, which tracks the retail and wholesale sectors, actually fell 0.2 percent. Food prices are a plus, rising 0.6 percent following May's 0.2 percent dip, but were offset by energy prices which fell 0.5 percent for a second straight decline. Prices for finished services managed only a 0.1 percent gain with this year-on-year rate, which offers a telling indication on demand for legal and health services, at only 1.7 percent.

However GDP or employment is moving, inflation is a fundamental indicator for general demand. These results will not move up expectations for tomorrow's consumer price report where similar weakness is the unfortunate expectation.

Recent History Of This Indicator
Like other inflationary data, producer prices have been soft and were unchanged in May with forecasters calling for the same in June. Prices less food & energy showed some life in May at plus 0.3 percent but with the June consensus at plus 0.2 percent. Less food, energy & trade, prices are also seen up 0.2 percent.

Definition
The Producer Price Index (PPI) of the Bureau of Labor Statistics (BLS) is a family of indexes that measures the average change over time in the prices received by domestic producers of goods and services. PPIs measure price change from the perspective of the seller. Effective with the January 2014 PPI data release in February 2014, BLS transitioned from the Stage of Processing (SOP) to the Final Demand-Intermediate Demand (FD-ID) aggregation system. The headline PPI (for Final Demand) measures price changes for goods, services, and construction sold to final demand: personal consumption, capital investment, government purchases, and exports.  Why Investors Care
 
[Chart]
With the redefined and expanded PPI Final Demand series, energy still creates monthly volatility. However, services and construction have softened the headline and core numbers.
Data Source: Haver Analytics
 
 

2017 Release Schedule
Released On: 1/132/143/144/135/116/137/138/109/1310/1211/1412/12
Release For: DecJanFebMarAprMayJunJulAugSepOctNov
 


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