US: Annual core PPI fell to 0.3% in May vs. 0.4% expected

Annual core PPI in US fell more than expected in May.
US Dollar Index stays in the positive territory below 96.50 after the data.

Eren Sengezer FXStreet

The Producer Price Index (PPI) for final demand arrived at +0.4% in May on a monthly basis following April's reading of -1.3%, the data published by the US Bureau of Labor Statistics showed on Thursday. This print came in higher than the market expectation of 0.1%.

The core PPI, which excludes volatile food and energy prices, dropped to 0.3% annually from 0.6% and missed analysts' estimate of 0.4%. On a monthly basis, the core PPI rose to -0.1% from -0.3% in May as expected.

Market reaction

The market reaction to these figures was relatively muted. At the moment, the US Dollar Index is up 0.36% on the day at 96.40.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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