Analyzing the Latest Updates on US January PPI Data

Friday, 16 February 2024, 13:30

The US January Producer Price Index (PPI) report showcased significant trends, with the PPI m/m exceeding expectations. Core PPI numbers also demonstrated positive shifts and enhanced growth, indicating rising momentum in the market. Analysts are providing valuable perspectives on potential upsides and the timing for strategic decisions in response to the latest data.

US January PPI Data Overview

  • Key Point: Prior was +0.9% y/y (revised to +0.8%)
  • Current Trend: PPI m/m +0.3% vs +0.1% expected (prior was -0.2%)

Core PPI Numbers

  • Core Focus: PPI ex food and energy y/y +2.0% versus 1.6% expected. Prior month 1.8%
  • Positive Shift: PPI ex food and energy m/m +0.5% versus +0.1% expected. Prior month -0.1%
  • Enhanced Growth: PPI ex food and energy/trade +2.6% y/y versus 2.5% prior
  • Rising Momentum: PPI ex food and energy/trade +0.6% m/m versus 0.2% last month

Analyst Perspective

Expert View: I flagged the potential for an upside surprise in this report because there seems to be something going on with seasonal adjustments at the BLS in January pricing data. So my inclination is to fade this, but the question is when to pull the trigger on that move?


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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