WASHINGTON — U.S. wholesale prices barely rose last month as a sharp decline in the cost of gas offset pricier freight trucking services and mobile phone plans.
The Labor Department said Tuesday that the producer price index — which tracks cost changes before they reach the consumer — increased 0.1
Excluding the volatile food and energy categories, wholesale prices rose 0.3
The figures suggest inflation pressures have subsided since late last year. That could affect the Federal Reserve's deliberations on how quickly to lift short-term interest rates in 2019. Fed policymakers are expected to hike rates for the fourth time this year at their next meeting later this month. But the pace of rate increases next year is uncertain as recent speeches by some Fed officials have hinted that the central bank could take a more wait-and- see approach
Consumer prices rose 2.5
That's just above the Fed's target of 2
Wholesale gas prices fell 14
Lower wholesale prices could bring more relief at the pump for consumers. The average price for a gallon of gas nationwide fell 29 cents from a month ago to $2.41 Tuesday.
Christopher Rugaber, The Associated Press