Watch
MoneyBusiness

Actions

US producer prices jump an unprecedented 8.3% in August

items.[0].image.alt
Jeff Roberson/AP
In this aerial photo, mid-sized pickup trucks and full-size vans are seen in a parking lot outside a General Motors assembly plant where they are produced Wednesday, March 24, 2021, in Wentzville, Mo. The global shortage of semiconductors is forcing General Motors to further cut production at six North American factories as chip supplies seem to be growing tighter. The shutdowns likely will crimp dealer inventory of vehicles made at the plants, but GM says it has managed to keep factories humming that make hot-selling and profitable full-size pickup trucks and SUVs. (AP Photo/Jeff Roberson)
General Motors-Chip Shortage
Posted at 7:42 AM, Sep 10, 2021
and last updated 2021-09-10 11:44:25-04

WASHINGTON (AP) — Inflation at the wholesale level climbed 8.3% last month from August 2020, the biggest annual gain since the Labor Department started calculating the 12-month number in 2010.

The Labor Department reported Friday that its producer price index — which measures inflationary pressures before they reach consumers — rose 0.7% last month after increasing 1% in both June and July.

Inflation has been stirring as the economy recovers from last year's brief but intense coronavirus recession.

Supply chain bottlenecks and a shortage of workers have pushed prices higher.

Excluding volatile food and energy prices, so-called core producer prices rose 0.6% from July and 6.7% from a year earlier.

Food prices were up 2.9% last month after falling in July.

The report shows wholesale food prices rose 12.7%, including grains surging 98%, beef 59.2%, and 43.5% for shortening and cooking oil.

Gasoline rose from -2.5% in July to 75.1% over the past year.

Copyright 2021 Scripps Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
How You Can Donate

Find Out How You Can Donate Books to Local Kids