Inflation fears continue as the producer price index jumped higher than expected, according to the latest data from Bureau of Labor statistics (BLS)
- M-O-M: The Producer Price Index for final demand increased 0.8% in May.
- Y-O-Y: The final demand index jumped 6.6% when compared to the same time a year ago. This is the largest increase since they began tracking data in November 2010.
Not every product’s price was up year-over-year, but the ones that did jump up were up big. Some products even saw triple digit gains…
- Energy led the way with gasoline jumping 143.9% followed by grains (+117.3%), Iron & Steel scrap (+76.6%), automobiles (+73.2%), and RVs (70.7%).
- Beef and veal saw the biggest drop down 24.4% followed by fuels & lubricants (-22.8%), fresh & dry vegetables (-13.2%), apparel wholesaling (-10.4%), and gaming receipts (-6.2%)
SWING AND A MISS: Just like today’s retail numbers, the economists missed the mark with their prediction. Economists had expected a month-over-month increase of 0.5%.
TIME FOR A CHANGE: The inflation debate continues as CNBC reports that several notable Wall Street names, including Bank of America CEO Brian Moynihan and hedge fund billionaire Paul Tudor Jones, said “it’s time for the Fed to pull back on the easy-money policy it instituted during the pandemic.” (CNBC)