Wholesale Prices in U.S. Fell 0.4% in June

[TomClash]

Source: Bloomberg

U.S. wholesale costs dropped more than forecast in June, restrained by the biggest decrease in energy prices in two years.

The 0.4 percent decline in the producer-price index followed a 0.2 percent gain in May, Labor Department figures showed today in Washington. The median forecast in a Bloomberg News survey called for a 0.2 percent drop in June. The so-called core measure, which excludes volatile food and energy costs, increased 0.3 percent, more than projected. The rise in commodities prices this year, which prompted some U.S. companies to pass them along to customers, is starting to ease. Gains earlier this year in raw materials have created tension among Federal Reserve policy makers between those who view the gains as temporary and those who project it will lead to faster inflation.

“We’ve gotten a little bit of reprieve from energy prices, which will go a long way in pulling down the headline number,” Michael Gregory, a senior economist at BMO Capital Markets in Toronto, said before the report. “Core inflation has been humming along on the producer side.”

Other reports today showed that first-time claims for unemployment benefits fell more than forecast last week to the lowest level since April, and retail sales stagnated in June.

Read more: http://www.bloomberg.com/news/2011-07-14/u-s-wholesale-prices-fell-0-4-in-june-led-by-cheaper-energy.html

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We need to cut spending and the deficit. Oh, yeah, right.

[msongs]

1. The republican framing and party line = now espoused by Obama and dems leadership nt

[PoliticAverse]

2. "The cost of food increased 0.6 percent, led by a 12 percent gain in fruits and melons....

after a 1.4 percent drop in May."

[Po_d Mainiac]

3. FWIW

Hard YoY numbers on commodities
The first number is 1 year ago. The second is today

Soy beans $940/$1384

Corn $360/$690

Rice $12/$16.90

Wheat $460/$719

Orange Juice $145/$191

Coffe $190/$263

Sugar $21/$29

Cotton $80/$110

Oil $68/$98

Heating Oil $190/$310

So if it feels like D2D expenses are choking your budget, guess what, they are!

Fuck BLS. Fuck BLS. Fuck BLS. Fuck the FED. Fuck the FED. :grr:

Fuck BLS and their inflation index

[dmallind]

5. Interesting, but this is a monthly metric, not an annual one. nt

[Po_d Mainiac]

6. BFD..n/t

[dmallind]

7. Yes - math is a big fucking deal. I agree. nt

[Po_d Mainiac]

9. Sure is

It takes math to turn raw data into something it is not.

[brentspeak]

10. Oh, so it's only the monthly figures that are important here?

Here are some monthly figures for you, Myron. Do the math. If you can manage to flip the truth around by twisting the numbers, you might get another sardine tossed your way.

http://www.indexmundi.com/commodities/?commodity=sugar&months=60">Sugar:

US cents per Pound

Jun 2010 16.30
Jul 2010 17.69
Aug 2010 18.60
Sep 2010 22.67
Oct 2010 26.94
Nov 2010 26.42
Dec 2010 28.04
Jan 2011 29.74
Feb 2011 29.31
Mar 2011 25.90
Apr 2011 23.90
May 2011 21.84
Jun 2011 24.92

http://www.indexmundi.com/commodities/?commodity=heating-oil&months=60">Heating oil

US Dollars per Gallon

Jun 2010 2.03
Jul 2010 1.98
Aug 2010 2.02
Sep 2010 2.09
Oct 2010 2.24
Nov 2010 2.32
Dec 2010 2.47
Jan 2011 2.60
Feb 2011 2.77
Mar 2011 3.03
Apr 2011 3.20
May 2011 2.95
Jun 2011 2.97

http://www.indexmundi.com/commodities/?commodity=wheat&months=60">Wheat

US Dollars per Metric Ton

Jun 2010 157.67
Jul 2010 195.82
Aug 2010 246.25
Sep 2010 271.69
Oct 2010 270.23
Nov 2010 274.08
Dec 2010 306.53
Jan 2011 326.55
Feb 2011 348.15
Mar 2011 316.75
Apr 2011 336.12
May 2011 354.47
Jun 2011 326.45

http://www.indexmundi.com/commodities/?commodity=crude-oil&months=60">Crude oil (petroleum)

US Dollars per Barrel

Jun 2010 74.73
Jul 2010 74.52
Aug 2010 75.88
Sep 2010 76.11
Oct 2010 81.72
Nov 2010 84.53
Dec 2010 90.07
Jan 2011 92.66
Feb 2011 97.73
Mar 2011 108.65
Apr 2011 116.32
May 2011 108.18
Jun 2011 105.85

http://www.indexmundi.com/commodities/?commodity=beef&months=60">Beef

US cents per pound

Jun 2010 144.81
Jul 2010 145.39
Aug 2010 152.50
Sep 2010 152.50
Oct 2010 154.75
Nov 2010 156.50
Dec 2010 173.03
Jan 2011 185.63
Feb 2011 183.73
Mar 2011 187.72
Apr 2011 193.00
May 2011 184.11
Jun 2011 178.36

[pinqy]

11. Those are commodoties prices

For trading purposes. Not the same as the wholesale prices from the PPI or the consumer prices from the CPI. They don't have to move in the same direction, they're different things....speculation versus market prices.

[CanonRay]

4. What a crock of shit

Why do they even bother to annouce this crap.

[reformist2]

8. There is little long-term inflation anymore, only speculative bubbles.