US: Annual PPI drops to 1.3% in February vs. 1.8% expected
- Annual PPI in US declined sharply in February.
- US Dollar Index advanced beyond 97 despite disappointing PPI figures.
The Producer Price Index (PPI) in February declined to 1.3% on a yearly basis in February from 2.1% in January, the data published by the US Bureau of Labor Statistics showed. This reading came in lower than the market expectation of 1.8%.
Further details of the report revealed that the core PPI in the same period fell to 1.4% from 1.7% annually and was -0.3% on a monthly basis.
USD reaction
Despite these reading, the US Dollar Index, which tracks the USD's performance against a basket of six major currencies, renewed its weekly highs above 97. As of writing, the index was up 0.45% on the day at 97.05.
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.
