Industrial prices remain soft

Although the overall finished goods producer price index (PPI) moved up 0.2% during October, prices for most items used at the manufacturing shop level showed little or no increase.
By Staff December 1, 1998

Although the overall finished goods producer price index (PPI) moved up 0.2% during October, prices for most items used at the manufacturing shop level showed little or no increase. The index for capital equipment showed no change in October, after rising a surprising 0.4% the month before. Prices for durable and nondurable manufacturing materials declined between September-October. PRODUCER PRICE INDICES

Annual change, %

Oct. 1998 1997 1998 1999

Intermediate goods* 132.7 0.2 -0.2 1.9

Finished goods* 144.6 0.3 0.6 2.2

Mech. power trans 158.0 2.2 1.8 2.0

Machinery and equipment 124.7 -0.5 -1.1 1.3

Material handling equip. 132.0 1.8 1.3 1.8

* Core rate, excluding food and energy items Source: U.S. Labor Dept.